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Educational Study: HOW TO TRADE "SPREAD"

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Educational Study: HOW TO TRADE "SPREAD"

SPREAD is a strategy in future market.
There are two spreads:
Inner Markret / Inter Market

Inner Market: Buy the GOLD FUTURE IN DEC and SELL GOLD FUTURE in Jan, or vice versa.

Inter Market: Buy the Gold and Sell Silver or Sell the gold and Buy the silver.

The beauty of this strategy is:
You are safer for risky events such as FOMC Meeting.
i.e. no matter what happens, gold and silver they will move together. and base on the location, I prefer to buy the gold and same time sell the silver for this FOMC meeting.
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This Strategy works so nice!

Now the GOLD SILVER Ratio is 72
EARN 400 pips
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snapshot
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It's good to close this SPREAD trade with nice profit

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