Monday, October 25, 2010

BANKBARODA & AXISBANK - inverse pair trade possible?

First 2 are charts of AXIS & BoB.

Third one is a relative chart with base as BANKBARODA and AXISBANK overlayed on it. Most of the times AXISBANK has led the moves in BANKBARODA and correlation wise AXIS is ahead of BANKBARODA while recently it has fallen behind BANKBARODA. 

For this correlation to correct - could the trade be long AXISBANK & Short BANKBARODA?




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