Can I play devil's advocate for a minute?
I don't care about Co-integration
I don't care about Correlation
All I want to do to pair a strong stock with a weak one.
This still provides me with the market neutral advantage which I require. I know it opens me up to various other risks e.g. sector but I believe that the added return possible accounts for this.
Is there anybody trying to pair stock in this momentum-based manner?
Pls be as hash as you like in response to this because I am suggesting a completely different approach to the selection of pairs for trading.
