Pair trading is a stock strategy that involves buying both long and short stocks that share a high correlation. The point of pair trading is to neutralize risk and hedge against a positive or negative market trend.
This investment strategy can prove beneficial for traders looking for new ways to trade but can be daunting to get started. Fortunately, there are services out there that make the process easier.
Our PairTrade Finder review will cover what the platform is all about and give you the information to decide if the trading service is right for you.
PairTrade Finder Review: Overview
PairTrade Finder is a leading stock tracking software application designed to help you identify pair trades for day trading.
The platform has a massive store of real-time data on market trades that include over 126 exchanges in more than 26 countries. Their catalog of tracked assets includes ETFs, stocks, CFDs, options, futures, commodities, and more.
A team of developers and investment professionals from some of the world’s largest financial institutions created PairTrade Finder in 2008. To date, the service has sold over 2000 licenses worldwide and has more than 6,000 downloads.
What is PairTrade Finder?
PairTrade Finder is a leading stock trading software that is designed to help online traders find good stock pairs for trading.
The trading platform can help you locate stocks with the potential to go short and long. This attempts to help you succeed no matter the market conditions. The logic is that if the market increases, the long stock will do well. If the market declines, then money can be made in the short position.
PairTrade Finder uses its repository of stock data to provide real-time updates about pricing, entry times, exit times, and more. You can define fields for searching for pair trades and set up custom email alerts. These alerts notify you when a pair goes into the proper price range.
Additionally, you can test out your pair trading system against PairTrade Finder’s massive library of historical data. This can help you predict how profitable your system will be.
How Does PairTrade Finder Work?
Pair Trade Finder is a standalone software application that works on both Windows and Mac OS devices. Once you download the program and launch it, you will be asked to put in the license key. You receive this when you sign up for your particular subscription plan (more on those later).
Once you do that, you will be taken to the main hub, where you start making your pair groups to keep track of. The highly customizable user interface runs like an Excel program, which most users are familiar with.
PairTrade Finder 15-day Free Trial Review
PairTrade Finder Pro is a paid software package, but they offer a free 15-day trial. This way, you can get acclimated to the software and decide if it’s for you. The trial allows access to everything the full program does, such as the grouping tool, charts, watchlists, and backtests. Once the free trial has expired, you must sign up for a subscription service to get a valid license key.
Credit card details are required to sign up for the free trial, and you will be automatically billed once the trial is over if you don’t cancel.
PairTrade Finder: Free Trial Free Gifts
When you sign up for a free trial of PairTrade Finder, you’re given permanent access to a few tools that will help start your pair trading off on the right foot. No payment is required for any of these goodies.
11 Trading Secrets
This free eBook covers 11 little-known secrets about how to be successful in pair trading. It reveals tips that even some of the experts don’t know so you can avoid pitfalls and find success.
Pair Trading 101
This free webinar gives insights into the world of pair trading and how a trader can get started in the space. The program assumes the viewer has no knowledge of pair trading and walks through the steps to get started right.
PairTrade Finder Review: What’s Included?
Here is a quick breakdown of the key features that come with PairTrade Finder.
- Pair Charts
- Back Tests
The Watchlist feature is what PairTrade Finder is known for. The watchlist uses historical stock data to auto-search for potentially paired stocks. These searches can be filtered to your liking to get the results you desire.
Potential stock pairs are then added to a watchlist so you can keep an eye on your findings. Each watchlist looks like an Excel spreadsheet that can be further customized based on the metrics that interest you the most.
The watchlist contains vital information such as volume, volatility, and co-integration of each trading pair you designate to follow.
The Pair Charts are an alternate viewing mode for your Watchlists. They consist of charts that plot different stock pairs against each other so you can see micro and macro trends in the data.
This feature is designed it much easier to see specific patterns in data. You can see how correlations hold over time, the RSI of the pair, and price ratios from one period to the next. The chart tool will probably look the most familiar to traders who have used other stock screening software packages.
This feature allows you to backtest how two stocks have gotten along going back several years. Backtesting shows successes pairs have had in the past and how pairs could potentially do in the future.
This data can be viewed right in PairTrade Finder or exported to other software like Excel.
PairTrade Finder Money-Back Guarantee Review
PairTrade Finder offers a 30-day money-back guarantee on its Pro service after you’ve made your initial payment. Unfortunately, this money-back guarantee comes with a 10% administrative fee should you cancel, so you’re still losing out on a bit of cash.
After those 30 days, there are no refunds for the service.
Is PairTrade Finder Legit?
PairTrade Finder has been around for over 13 years and has a history of success. During that time, the software has seen thousands of downloads.
The PairTrade software does not connect to your financial accounts, so nobody is able to steal your money either. PairTrade Finder is also excellent about honoring its money-back policy and free-trial policy.
How Much Does PairTrade Finder Cost?
After the 15-day free trial, the service costs $43.92 per month, payable annually at $527. Keep in mind that you’ll only be able to cancel with a refund for the first 30 days if you pay annually.
PairTrade Finder Review: Pros and Cons
PairTrade Finder has some great features that make it stand out in the stock pairing space. That being said, there are also a few things to watch out for:
- Software automatically finds correlated stocks
- Very customizable and intuitive interface
- Backtesting with historical data for up to three years
- Chart mode is helpful for comparisons
- Generous trial and money-back guarantee
- Limited charting options
- Difficult to export data to Excel.
Is PairTrade Finder Right for Me?
PairTrade Finder clearly stands out as a reliable tool to use in pair trading. This is especially true if you are a relatively new pair trader who needs help learning the ropes.
The software is useful at helping you learn how to analyze charts for good trading pairs. PairTrade Finder saves you a lot of time, automatically hunting for the best stock pairs and leaves you only to decide if they are a worthwhile investment.
If you have experience in pair trading and already have some custom strategies and plans, then you may not get much out of the software. At the very least, you may be able to use PairTrade Finder as a jumping-off point for new trading strategies.
At the end of the day, it comes down to the personal preference of traders. PairTrade Finder offers a pretty generous free trial and money back policy, however. So, at the very least, you can try it out to see if you like it or not.
PairTrade Finder Reviews by Subscribers
PairTrade Finder has very good customer reviews. On the official website, they have a lot of positive testimonials from users. The majority of reviews praise how the software is able to calculate so many alternatives to historical trends.
They claim that the software helps them make some good profitable trades. One customer claims that they used PairTrade Finder to make nearly $8,000 in a single week. While these are probably not typical results, it is pretty impressive.
One other thing that many reviewers put a focus on was the quality of customer service. The customer service team at PairTrade Finder seems knowledgeable, friendly, and helpful.
PairTrade Review: Is It Worth It?
Online traders unfamiliar with pair trading can help to find a good trading strategy that will have less risk by using PairTrade Finder.