Yeah true, but I guess a better way to pair against the ASX200 index would probably be to buy/sell the ETF: STW.
However, I've had a look around for industry specific ETF's or similar to replicate the performance of individual industries but I cant find any.
The reason I was saying it...
Um, the other pair would be the index.
If you want you can call it pairs analysis.
You could take the opposite position with the index, but I dont think it would be very successful.
Hey Pairs Trader,
I have been reading your thread with interest.
I just had a thought though, what if you were to compare a stock to the index?
Find a stock which correlates strongly with the index and maybe even has a beta close to 1?
I guess the index could be the ASX200, but maybe...
Really? instead of the market pricing in the expected price movement, the exercise price of the option is adjusted?
Guess there would be no point to this trade then
Hey Guys,
Im sure you've all heard about RIO's Rights Issue which goes ex rights on 17 June 09.
Shareholders can subscribe for 21 shares for every 40 @ $28.29.
Using RIO's price at time of writing ($77.60), in theory RIO should be trading @ $60.62 cum rights.
So Im considering buying...
Has anyone else been surprised how firmly MQG held today? They actually closed up! I thought for certain they would be down after the Capital Raising announcement.
As a MQG shareholder Im not complaining though. As long as they are trading above 26.60 on 5 June 09 Ill make a nice arbitrage...
Re: POTENTIAL BREAKOUT Alerts
Hey guys,
This is my first post but I have been reading through the forums for awhile now.
RE: Potential Breakouts I've been watching GMG for the past few months. Not to sure how to get a custom chart up here but looking at the ASX chart, since the end of Feb...
This site uses cookies to help personalise content, tailor your experience and to keep you logged in if you register.
By continuing to use this site, you are consenting to our use of cookies.