« The Big Pairs Debate | Main | More on Starting Over »
Tuesday
Dec062011

Day Trading Green Mountain Coffee and Diamond Foods Spread

DateTuesday, December 6, 2011 at 1:23PM | by AuthorMichael Bigger | CommentPost a Comment

I have been day trading (scalping this spread) for the past few days. Everytime it goes close to about 20.00, I would initiate a short position.  That is short 3 * $GMCR / Long 5 * $DMND. I would then cover below 15.00 giving us +5 pts profit per spread.

Overall the spread is in overbought territory as it is trading over +4 z-score above the 5 year average.

Stats and charts can be viewed here. Learn to daytrade spikes and gaps here.

Written by Aris David. Follow me on Twitter and StockTwits.

Source: Interactive Brokers

 

PrintView Printer Friendly Version

EmailEmail Article to Friend

Reader Comments

There are no comments for this journal entry. To create a new comment, use the form below.

PostPost a New Comment

Enter your information below to add a new comment.

My response is on my own website »
Author Email (optional):
Author URL (optional):
Post:
 
Some HTML allowed: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <code> <em> <i> <strike> <strong>

Notify me of follow-up comments via email.