#ArbitrageTradingStrategy

Arbitrage exploits price differences of the same asset across markets. Key types:

1️⃣ **Spatial Arbitrage** – Buy low on Exchange A, sell high on Exchange B instantly.

2️⃣ **Statistical Arbitrage** – Use algorithms to trade correlated assets when prices diverge.

3️⃣ **Triangular Arbitrage** – Profit from currency mispricing across 3 forex pairs.

⚠️ **Challenges**

- Requires ultra-fast execution & low fees

- Opportunities vanish quickly

- Risk of partial fills

Best for: High-frequency traders & institutions with advanced tech.