1/8
To illustrate, let’s take a simple moving average (SMA) crossover rule.
We buy SPX if our fast SMA (typically the prevailing price) > our slow SMA (typically somewhere between 6-12 months).
The classic is the price vs 12-month SMA. Let’s call that the “active benchmark”.
2/8
May 8, 2021 • 7 tweets • 2 min read
1/ I was curious to study the economics of the #bitcoin cash and carry trade nicely explained by @choffstein. Given that US citizens can’t do it., why isn’t everybody else on this?
2/ Disclosure: I have no strong opinions on #crypto itself and this is not investment advice. Simply like understanding why such high expected return (almost) delta neutral carry trades exist in 2021