Monday, October 19, 2009

Blind Spot Arbitrage

What is a blind spot arbitrage?

Blind spot arbitrage in fact many people do not pay attention, or that many people have somewhat overlooked the key point, but is also a place to conduct arbitrage, or investing in, but access to the expected benefits.

Blind spot arbitrage - Features

The first characteristic is the profits are robust, predictable, low-risk or no risk.

The second characteristic of the whole argument that it is relatively objective, is not directly related to fluctuations with the legal system or the operation and capital market laws and the potential of linking; The third characteristic bear big profits, big bull market profits.

Blind spot arbitrage - arbitrage method of stock market

Low-priced stocks of large capitalization stocks are not active in heavy volume-cost large capitalization stocks In the current policy long on the market context, the institutional investors when the active operation of individual stocks is high, and there will be a big money continue to intervene in the market. Of which many large funds is also very particular about time-efficiency of their stocks in order to shorten the overall running time, and often will choose a number of peacetime stocks of the poor son of Liu Tongpan large intervention stocks share price is not high.

stocks are being pulled in and the plate effect

Many investors attach great importance to technical analysis and news analysis, it was considered a strong market, the continuous pay 10 million is the best and most practical sources, the most accurate technical analysis, or at least uncertainty about the whisper than to be a reliable multi-message . Shares rose more than those who appear in succession stocks pull the big pay a small amount of catch shares can instantly forward, seize such opportunities need for frequent knock on 61 and 63 keys, or frequently staring at real-time transaction set.

Index showed a larger rise when stocks fall varieties

Showed a larger decline in the index, there will be some stocks bucked the market, these stocks are technically part of the overall market has already begun to adjust fully, or to enter Jiancang late, or habit of the main operation has gone against the tide, if it is in the the above-mentioned three points, then we should pay more attention to such stocks rising rate will normally be stronger than the public stock, which rose by heavy volume can easily become a dark horse, for a very scarce that day should be a strong focus on those rosy.

China's stock market blind spot arbitrage have three core elements==>