#TradingPairs101 Pair trading is a market-neutral trading tactic that allows investors to use the historical performance of stocks to make long and short bets and achieve significant profits.

Pair trading was first used in the mid-1980s as a method to gain potential profits through technical and statistical analysis. It remained in the hands of Wall Street professionals until the internet opened online trading and real-time financial information to the public. In a short time, there were already experienced retail investors using pair trading to make money while managing their risk exposure.