ETF Arbitrage: How It Works

ETF Arbitrage is a strategy through which traders earn a profit by exploiting the price discrepancy between an ETF and its underlying assets or related securities. This process eventually results in an equilibrium price as …

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Volatility Arbitrage: Overview & Concerns

Volatility Arbitrage is a form of statistical arbitrage used in options trading. This trading technique exploits the difference between an option’s implied volatility and the underlying asset’s actual volatility. Vol Arb is usually implemented in …

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Information Arbitrage: An Ultimate Resource

Information arbitrage identifies market-moving information and trades on it before the financial markets recognize its impact. The disparity in knowledge across markets and its timing creates information arbitrage opportunities. Information arbitrageurs discover market-moving information from …

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Arbitrage: A Complete Guide

Arbitrage is a trading strategy that exploits an assets’ price or information discrepancies for profit. These differences arise due to market inefficiencies. Market neutral strategies such as buying and selling the same investment on two …

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Social Information Arbitrage: Trading Twitter

Social Information Arbitrage is a form of arbitrage trading that scrutinizes trending topics to identify price-impacting information and exploits that information before the market factors it in thoroughly. Traders can spot such insightful trends on …

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Stochastic RSI: A More Responsive RSI

The Stochastic RSI (Stoch RSI) is a technical analysis indicator derived from the standard RSI indicator. It identifies potential overbought and oversold conditions in the market and can assist with identifying current market trends. What …

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Stochastic Momentum Index (SMI)

The stochastic momentum index (SMI) is a technical analysis indicator that shows price momentum by calculating its closing price distance relative to its median high-low price range. The SMI attempts to improve upon the traditional …

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