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Strategies & Market Trends : Win Lose or Draw : Be A Steve, Make A Call

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To: sun-tzu who wrote (1816)2/12/2003 2:26:10 PM
From: augieboo  Read Replies (1) of 11447
 
sun-tzu, would you please elaborate a bit on your pairs trading strategy? Specifically:

[1] Does it matter what time frame one uses? Do you think this would work with Rydex/Profunds index short/long funds which trade only on a daily basis?

[2] Do you wait until after a turn, or do you try to anticipate one? (If you cover your short position and the market keeps dropping -- or vice versa -- then you are still skrewed, no?)

[3] Why not just go short and long a single vehicle at the same time, repositioning as described? Wouldn't that balance the up and down movements better?

TIA,

augie
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