sumastardon

S and P v Nasdaq: simple arbitrage idea

sumastardon Updated   
AMEX:SPY   SPDR S&P 500 ETF TRUST
6
S and P rally speed is 188 points per year at fastest (top resistance line) against Nasdaq slowest rally speed, (chart to follow), is 480 points per year. This trend is unlikely to change any time soon, only accelerate. If you believe the same a simple way of trading the biggest trend of our lives is to ride it by simply going long Nasdaq and shorting S and P. Return per year over 8 years so far averages 480 less 188...roughly 300 near risk-free points per year.
Comment:
FYI, the comment at foot of the chart is from early March. It's another reason to be wary of S and P . Nasdaq doesn't have the same crap to deal with, thankfully.

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