#ArbitrageTradingStrategy Arbitrage Trading Strategy refers to the practice of taking advantage of price differences for the same asset across different markets. Traders buy low in one market and simultaneously sell high in another, profiting from the temporary price discrepancy. This strategy is widely used in stocks, cryptocurrencies, forex, and commodities. The key to successful arbitrage is speed and technology, as price gaps often close within seconds. Types of arbitrage include spatial arbitrage (across exchanges), statistical arbitrage (based on historical correlations), and triangular arbitrage (involving currency exchange rates). While relatively low-risk, it requires significant capital, automation, and real-time data access to be effective.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content.See T&Cs.