Pair Trading
by PRASHANT SHAH -
As the ratio chart is calculated using the price of two instruments, this methodology may be used for pair trading too. Pair trading essentially means taking contra trades in two different instruments. For instance, you may take a long trade in instrument X and simultaneously go short in instrument Y. This is a pair trade, ... Read more
Pair Trading
by PRASHANT SHAH -
As the ratio chart is calculated using the price of two instruments, this methodology may be used for pair trading too. Pair trading essentially means taking contra trades in two different instruments. For instance, you may take a long trade in instrument X and simultaneously go short in instrument Y. This is a pair trade, ... Read more