Decoded Intelligence Signal
Cointegration
advanced
strategy
Verified: May 27, 2026Lexicon Core Definition
A statistical property of two or more non-stationary time series that share a stable long-run equilibrium relationship even when they diverge short-term; cointegrated pairs tend to revert toward each other after divergence, making them valid candidates for pairs trading strategies.
Analysis Breakdown
A statistical property of two or more non-stationary time series that share a stable long-run equilibrium relationship even when they diverge short-term; cointegrated pairs tend to revert toward each other after divergence, making them valid candidates for pairs trading strategies. Full explanation coming soon when Journey 22 content is ingested.