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Pair Trading Blog

Learn pair trading strategies, cointegration analysis, and quantitative trading techniques for the Indian stock market

What is Pair Trading?

Pair trading is a market-neutral trading strategy that involves matching a long position with a short position in two stocks with high correlation. When two stocks that normally trade together diverge from their historical relationship, the pair trader bets on convergence by going long the underperformer and short the outperformer.

This strategy was pioneered by quantitative analysts at Morgan Stanley in the 1980s and has since become a cornerstone of statistical arbitrage. In the Indian market, pair trading can be particularly effective with sectoral stocks that share similar business drivers and market dynamics.

Latest Articles

January 29, 2026

February 2026 Watchlist – 2 Strong NSE Pair Trading Opportunities Identified by QuantPair

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January 16, 2026

How to Read ADF Values in Pair Trading – Simple Guide for Beginners

"Learn what ADF test values really mean in pair trading. What do –2.5, –3.5, or –4.0+ tell you about a pair’s strength? Quick guide with examples." Learn what ADF test values mean in pair trading: –3.5 or –4.0+ signals strong mean reversion. Simple guide with examples & trading checklist. Free NSE pairs tool.

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January 14, 2026

How to Use QuantPair as a Web App: Add Shortcut to Home Screen on Android & iPhone (2026 Guide)

Turn QuantPair into a fast, app-like experience on your phone. Learn how to add our free NSE pair trading tool to your home screen as a shortcut or PWA on Android and iOS – no app store needed.

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December 25, 2025

Is pairs trading too good to be true in 2025?

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December 19, 2025

Is Pair Trading Profitable in India?

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December 19, 2025

Mastering Pair Trades: 4 Expert Execution Strategies for NSE Traders

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December 12, 2025

Top 3 NSE Pair Trading Opportunities – Dec 12, 2025

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