Long ETN, short UPS, same sector: $1 of ETN against $1.66 of UPS, sized so that a typical day moves each leg by about the same amount. The spread is -21.6% over the last 120 sessions, -29.3% over the last 20, and today's level sits at the 6th percentile of its own path, deeply compressed, narrowing over the last ten sessions. Alpha 25 against 85, a gap of -60 points (-50 ten sessions ago). Net market exposure at this sizing: +0.23, a clean relative bet. Same sector, not true peers on the desk's test.
Not on the desk's list as of Nov 10, three sessions behind. Pro sees today's list.
The last 8 times these two sat this far below their one-year average, 2 closed half the gap within ten sessions: a spread that has tended to keep going. UPS leads (Alpha 85); ETN is not a fresh riser (Alpha 25).
One line of your account split $1 : $1.66 across the legs at the last close (ETN $360.00, UPS $110.61); fractions included. Arithmetic on a setting you choose, not a recommendation.
The house book has not closed a trade in this pair.
The house takes every listed cycle pair by the rules, after average trading costs; its full record is on the engine page. Pairs you assemble yourself are ideas, not posted trades: the Hedge pairs chapter says how the two differ.
Each leg against its sector fund, and each leg's true peers.
How to read it: the spread is what $1 long ETN and $1.66 short UPS would have made together, in percent of the long leg, close to close, before costs; the market's move cancels in it to the extent the two legs share it. Stretch is where today's level sits among the last 120 sessions of that path, a description of the spread's own history and not a forecast. Net β is the pair's remaining market exposure per $1 long at this sizing (each leg's beta over 250 sessions). The pages for ETN and UPS carry each leg on its own.