A pairs trade is a trading strategy that involves matching a long position with a short position in two stocks with a high correlation.

Pairs trading strategies usually vary in two ways: the way of detecting the “co-moving” pairs and the logic behind the trading rules. We dive into this topic ...

Pairs trading is a non-directional, relative value investment strategy that seeks to identify 2 companies or funds with similar characteristics.

In a pairs trade, you bet on the direction of the stocks relative to each other. Trading strategies which are independent of market move- ments are said to be ...

Pairs trading involves betting on the price spread between two similar securities. Pairs trades can be based on fundamental or technical factors, and these ... What Is Pairs Trading? · Example: Futures

There are five main techniques that can be utilized to execute a pairs trading strategy. These are: correlation, distance, stochastic, stochastic differential ...

A potential investor has to find two stocks whose prices have moved together historically, and when the spread between them widens, short the winner and buy ...

Pairs Trading is a trading strategy consisting of a long position in one security and a short position in another security in a predetermined ratio. If the two ...

Pairs trading is an advanced strategy where traders open a long position in one security and a short position in another, aiming to profit from price ...