#ArbitrageTradingStrategy Arbitrage** is like finding a tiny pricing mistake ๐ฐ between markets and instantly grabbing the free cash! ๐ธ Here's how:
1. **Spot the Gap ๐:** Find the *same asset* (like a stock, currency, or crypto) priced slightly differently on two exchanges or markets.
2. **Buy Low, Sell High... Instantly! โก:** Simultaneously:
* Buy the asset where it's **cheaper**.
* Sell it where it's **more expensive**.
3. **Pocket the Difference ๐ผ:** The tiny price gap is your profit (minus fees). It's considered very low risk because both trades happen at the same moment.
4. **Markets Correct โ๏ธ:** Your actions help push the prices back in line!
**Key Types:**
* **Exchange Arbitrage:** Between 2 exchanges (e.g., Bitcoin on Binance vs. Coinbase).
* **Triangular Arbitrage:** Exploiting currency pairs within *one* exchange (e.g., EUR/USD, USD/GBP, EUR/GBP).
* **Statistical Arbitrage:** Using complex math & speed โก to find *likely* temporary gaps (more advanced).
**It's super fast โก & competitive!** Bots often do this. The opportunities vanish in milliseconds! ๐$BTC