3.8

Pairs Trading

PYTHON PLUGIN Stocks Stat Arb

Description

Strategy 3.8: Pairs Trading with z-score mean reversion

Strategy Logic

Pairs trading strategy using z-score of log price spread.

Parameters

Parameter Default Value Type
lookback 60 int
entry_z 2.0 float
exit_z 0.5 float

Risk Configuration

Risk Parameter Value
Max Position Pct 10.0%
Stop Loss Pct 4.0%
Take Profit Pct 8.0%
Max Drawdown Pct 15.0%