Monday

GFT and IG Markets China H Shares Discrepancy

Post a Comment March 30, 2009 – 7:55 am |   | Permalink |  Print This Post |

For our Australian readers, we have found the perfect discrepancy. China H Shares is trading at 8087 on GFT whilst IG Markets has China H Shares at 7876. Thats a 211 discrepancy! We will short China H Shares on GFT at $20/point and IG Markets long. If the gap closes, we will book $4000 in profits. We have also opened a (very small) long China H Shares at 7876 at $2/point (this could be a very costly lesson - but we have a 7% buffer). Even in a downtrend, we would expect a small bounce (at worst a small decline Tuesday).