1. Trading Pairs (Crypto & Forex) 📈

Types:

2. Pairs Trading Strategy (Statistical Arbitrage)

Key metrics:

Typical process:

Resources:

🛠️ Choosing What’s Right for You

Strategy TypeBest ForRisk ProfileTools NeededTrading PairsActive crypto/forex tradersMarket/multiplier riskExchange access, chart toolsPairs Trading (Stats)Quantitative, market-neutral investorsSpread risk, correlation breakdownBacktesting, statistics tools

🎯 Next Steps

Crypto/Forex Traders

– Start with high-liquidity pairs (BTC/USDT, EUR/USD). Monitor spreads, slippage, and exchange fees.

Quantitative Traders

– Build a screening system:

Find highly correlated asset pairs.

Set statistical thresholds (e.g., z‑score ±2).

Simulate on historical data, then paper trade.

✅ Conclusion

Trading pairs are core building blocks in markets—understanding base vs. quote, liquidity, and market structure is essential.

Pairs trading is a structured, hedged strategy aiming to profit from relative asset movements, not market direction.

The video above provides a practical walkthrough of how pairs trading works. Let me know if you'd like help finding specific correlated assets, tools for screening, or example currency/crypto pairs to trade!