#ArbitrageTradingStrategy
With its subscription to market fluctuations, the arbitrage trading strategy allows traders to exploit small price differences of the same assets across different markets. The basic idea is to buy the asset at a lower price in one market and immediately sell it at a higher price in another market to profit from this difference. This type of trading requires extreme speed and precision in execution, as arbitrage opportunities can disappear within seconds due to rapid market changes. Traders often rely on sophisticated computer programs to monitor prices and execute trades automatically to maximize their chances. Despite its appeal, it is not without risks such as slippage or transaction fees that could eliminate potential profits.