#ArbitrageTradingStrategy The arbitrage strategy in trading aims to exploit market inefficiencies, profiting from the small price differences of the same asset in different markets or platforms. Essentially, an arbitrage trader buys an asset where it is cheaper and simultaneously sells it where it is more expensive. This is a low-risk strategy, as the goal is to secure a profit without significant exposure to the price fluctuation of the asset itself.
There are several types of arbitrage, such as spatial arbitrage (between different exchanges), triangular arbitrage (between three different currencies), or statistical arbitrage (taking advantage of historical patterns). However, the successful execution of arbitrage requires speed and advanced technology, as price inefficiencies tend to be fleeting and quickly corrected by the algorithms of other market participants. The profitability per transaction may be small, but the aim is to accumulate profits through a high volume of transactions.