does anyone in these forums trade pairs? i'm interested in doing this to remove the market risk.
i'm curious as to what criteria and what method people use to find pairs. i know the obvious and
maybe most common criteria is over/under performance, but you can also use the yield curve
to trade interest rate products, or the gold/silver price ratio. any others?
i created a tool on one of my web sites to help analyze and track pairs. it mainly analyzes relative
performance but it doesn't do any scans so you have to have a pair in mind to analyze. i'd like
to hear what other are using to find pairs.
the tool can be found at https://sites.google.com/site/traderzstudio/pairs. i have a few paper trades
i've been looking at but haven't done any real trades yet. one trade i'm following is eem/spy (long 6 eem,
short 1 spy). if you want to see this trade, copy the attached file to a folder on your computer. go to
the above web site and near the bottom of the page, click on "browse" and point to the saved file in
the file menu that pops up. this will load the file and plot the price graphs and equity curve. the file is
simply a text file describing the trade.
regards,
jim
i'm curious as to what criteria and what method people use to find pairs. i know the obvious and
maybe most common criteria is over/under performance, but you can also use the yield curve
to trade interest rate products, or the gold/silver price ratio. any others?
i created a tool on one of my web sites to help analyze and track pairs. it mainly analyzes relative
performance but it doesn't do any scans so you have to have a pair in mind to analyze. i'd like
to hear what other are using to find pairs.
the tool can be found at https://sites.google.com/site/traderzstudio/pairs. i have a few paper trades
i've been looking at but haven't done any real trades yet. one trade i'm following is eem/spy (long 6 eem,
short 1 spy). if you want to see this trade, copy the attached file to a folder on your computer. go to
the above web site and near the bottom of the page, click on "browse" and point to the saved file in
the file menu that pops up. this will load the file and plot the price graphs and equity curve. the file is
simply a text file describing the trade.
regards,
jim