Long FDX, short LOW, across sectors: $1 of FDX against $0.89 of LOW, sized so that a typical day moves each leg by about the same amount. The spread is -7.9% over the last 120 sessions, -4.0% over the last 20, and today's level sits at the 8th percentile of its own path, deeply compressed, narrowing over the last ten sessions. Alpha 79 against 78, a gap of +1 points (+5 ten sessions ago). Net market exposure at this sizing: +0.29, it leans long the market. The two are co-movers on the desk's own test.
Not on the desk's list as of Nov 10, three sessions behind. Pro sees today's list.
The last 3 times these two sat this far above their one-year average, 1 closed half the gap within ten sessions. FDX is a fresh riser; LOW is not a stale leader (Alpha 78).
One line of your account split $1 : $0.89 across the legs at the last close (FDX $320.00, LOW $227.46); 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 FDX and $0.89 short LOW 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 FDX and LOW carry each leg on its own.