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Pair Trade


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#11 risk_management

risk_management

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Posted 05 February 2016 - 09:44 PM

Didn't have time earlier to mention how clueless this trade is.  Pair trade is a neutral strategy trade.  Since stocks and bonds are often inverse, and you believe that to be the case now since you mentioned that money is moving out of bonds and into stocks, this trade is not a pair trade.  This trade was doubly bullish.   40 points lower and you are singing the same tune.  It's comical at this point but at least it's not that same skew chart again.