0 Pair Trade (ULTRACEMCO and ACC)

28.07.2012

ULTRACEMCO and ACC spread is currently at 336.50 and Max spread was at 357.15 (26th July 2012). One year correlation between ULTRACEMCO and ACC is at 83% which shows strong and health relationship.

We recommend traders to go long on ACC (1 Lot Aug futures) and short  ULTRACEMCO  (1 lot Aug futures) at a spread of  330-335 with Stop loss placed at 370 for target of 295, 240 in 2 to 3 months.

ACC August Future CMP : 1288.55

ULTRACEMCO August Future CMP : 1625.05

*~Outlflow(`1 lacs), Time horizon - 2 to 3 Months, Expected return 20-25%