Author Archives: Pairtrade Finder®

Best Stock Pairs to Trade? NEW LAUNCH of the FAST 50!

Looking for the Best Stock Pairs to Trade?

Welcome to the new FAST 50 U.S. Equities Pairs from PairTrade Finder®! A curated portfolio of 50 U.S. Cointegrated Stock Pairs, it is our effort to regularly deliver to our subscribers the best stock pairs to trade. The screenshot below links to our video presentation of the New March Vintage FAST 50 U.S. Equities Pairs:

best stock pairs to trade

PairTrade Finder®’s FAST 50 Cointegrated U.S. Equities Pairs – Finding The Best Stock Pairs to Trade!

We analyse over 1,800 U.S. equities to find you the best stock pairs to trade!

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Stock Pair Trade of the Month January 2021

Autohome Inc. (NYSE:ATHM) vs. Twitter, Inc. (NYSE:TWTR) 38% Return in 8 Market Days! We are highlighting a member of our new FAST 50 U.S. Equities Pairs launched in January 2021 as our stock pair trade of the month for January.  Autohome Inc. (NYSE:ATHM) vs. Twitter, Inc. (NYSE:TWTR) The latest trade called on the pair didn’t disappoint, delivering $456 Net Profit and a 38% return on margin in 8 days, based on $3,000/leg position size…  Here is a detailed trade entry and exit analysis for this example pair trade: Video: Pair Trade of the Month Jan 2021

Stock Pair Trade

Backtest Results:

In backtesting over the two years prior to 5 January 2021,

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The Best Trading Strategy Ever? The Results Speak for Themselves…

Is Pair Trading of stocks and other securities the best trading strategy available?

Pair Trading has been revealed as the trading strategy behind the world’s most successful trader, Jim Simons, who achieved a 2,710% return on billions of dollars over 10 years.  The flagship fund of Jim’s firm, Renaissance Technologies, is called the Medallion Fund. It is still the best long-term performing hedge fund in history.

Don’t take our word for it! Here’s what the Founder and President of Renaissance Technologies had to say publicly in Congressional testimony:

Best trading strategy

The fund’s 30-year rate of return (66% p.a.) turned $1 invested in 1988 into over $4,010,000 by 2018 (Source: Wikipedia)

And an excerpt from “Who Is The Best Trader In The World?

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Stock Pair Trading the Top 30 Nov 2020 Vintage: First Five Weeks’ Results

For those of you who are new to this site, stock Pair Trading involves simultaneously entering LONG (i.e. BUYING) and entering SHORT (i.e. SELLING) two “paired” stocks.

stock pair trading

Why Pair Trade Stocks?

Stock Pair Trading has been shown to provide protection from market crashes, controlled risk, low correlation to the market averages and ability to generate significant and consistent returns.  Multiple recent research studies have demonstrated returns to be in the range of 2%-4% per month*, on a 4:1 leverage basis, over more than a decade.

Add in the use of Cointegrated Stock Pairs and the historical returns look even stronger**.

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ADVANCED PAIR TRADING 301: How to Increase Profitability and Lower Volatility

Trailing Stops, Take Profits and Corporate Action Screening…

Watch as Geoffrey S. T. Hossie, Managing Director of Event Driven Investor Ltd., takes you through more advanced pair trading techniques.  Techniques that can increase profitability and lower volatility in stock pair trading returns.

Covers the use of trailing stops, take profit targets, and avoiding fundamental-value-shifting corporate actions.

All using PairTrade Finder® PRO v2.2 and the latest August Vintage of the Top 30 U.S. Equities Pairs.

Watch the video here:

advanced pair trading

Let Us Help You Develop a Successful Trading Edge

PairTrade Finder® PRO is our acclaimed pairs trading software platform. 

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US Stock Pair Trading Profitability: 16.1% in 3 Months. Out-of-Sample Results Meet Expectations

Here at PairTrade Finder® we receive constant requests from customers and potential customers to demonstrate the actual pair trading profitability of US stocks using the PairTrade Finder® PRO system.  Is it profitable and, if so, how profitable?  Can it be used as a new career?  Can it have a significant impact on the lives of its practitioners?

Pair Trading Profitability Track Record

We don’t publish a real money track record.  Nor do we make any promises about your potential returns from pair trading.

However, we are able to show you out-of-sample results for our Top 30 US Equities Pairs released on 12 Nov 2019 until 15 February 2020 as an actual recent example. 

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New Year Reflection on Trading: You Know Nothing…

As a first reflection on trading to kick off the year 2020 (as part of the Western world measures the calendar), we would like to link to a blog post by Jared Dillian, and ex-Lehman Brothers trader, now writing for Real Investment Advice.

Why do we highlight his post?  We think it shows our reflection on trading – that in a world of ever changing market regimes, where objective truth (value) is non-existent – perhaps a legitimate way of approaching profit generation is to follow a trading system that seeks to profit from RELATIVE value.  The perceived value of Stock A vs.

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TOP TRADING SIGNAL AUGUST 2019: PTEN vs. VET

Entry Trading Signal of 30/7/2019, Exit 20/8/2019: Patterson-UTI Energy Inc. (PTEN:NASDAQ)  vs. Vermilion Energy Inc. (VET:NYSE) $1,296 in 16 Market Days 33% Return on Margin

(based on $10,000/leg and 5:1 CFD margin)

PLAY VIDEO ANALYSIS:

Pair Trading Software

Learn to Pair Trade Stocks with PairTrade Finder® PRO in order to:
  • Seek consistent profits regardless of market direction (Bull market? Bear market? Sideways?  It doesn’t matter with pair trading)
  • Use hedged positions to protect from a market crash (you are long and short correlated stocks in equal measure)
  • Create,
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Pair Trade of the Month July 2019

Medtronic plc vs. Zimmer Biomet Holding Inc $919 in 40 Days 23% Return on Margin

(based on $10,000/leg and 5:1 CFD margin)

Pair trade software

Pair Trade Stocks with PairTrade Finder® PRO in order to:
  • Seek consistent profits regardless of market direction (Bull market? Bear market? Sideways?  It doesn’t matter with pair trading)
  • Use hedged positions to protect from a market crash (you are long and short correlated stocks in equal measure)
  • Create, backtest and generate trade signals from your own custom long/short portfolio
  • Manage the whole trading plan in under an hour/day,
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Learn to Trade Stock Pairs: Monday Morning Thoughts for Inspiration

Exhaustive and robust academic research of stock pair trading strategies on the S&P 500 show consistent trading gains.  Stock pair trading, especially using cointegration for selecting pairs, has shown historic profitability of up to 5% per month.  Learn to trade stock pairs in our 30 Minute Webinar.  Sign up for a 15-Day Free Trial and get our eBook Trade Like a Hedge Fund for free.

Learn to Trade Stock Pairs Today!

Free triallers also receive access to our Pair Trading Video Training Course.  Taught by a professional pair trader, this series presents pair trading in simple,

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