Course Name: Stock Market Basics,
How do you take advantage of an arbitrage situation with the help of futures?
How to analyze the average and current spread in price difference?
Hi Anshul,
There can be multiple types of arbitrage strategies like statistical arbitrage, spatial arbitrage, etc. One such strategy is cash future arbitrage which involves simultaneous buying and selling of spot prices and futures contracts of security. However, while doing cash future arbitrage impact of corporate actions should be thoroughly considered. You can refer to the following link to know more about the same:
https://www.investopedia.com/terms/c/cash-and-carry-arbitrage.asp
For the second question, it would be great if you could please provide a bit more context.
Hope it helps!
Thanks,
Akshay