What the VOC happened?, page-12

Spread is what i was thinking of, im not a trader, so i dont understand properly, im just stating what i think i have observed. If anyone knows an expert i would love to hear their take on it.

"For example, a spreader might take the risk of the difference in price between August Soymeal and December Soymeal (see picture below), or the difference in price between December Kansas City wheat and December Chicago wheat, or between the strongest stock in a sector and the weakest stock in that sector."
http://www.spread-trading.com/what-is-spread-trading.htm

Telstra is a stable stock in the sector, and they are strong in a lot of ways, but they are facing long term issues maintaining earnings, so they are weakening a little.

Vocus has been the weakest of the three listed integrated telco's in the last couple of years, but people should be starting to see the worst is behind, and has a much greater growth opportunities.

So the two make a good pair to make a spread with to my theory (i have to practical experience of such things).

If someone was trading relative to the two shares, it just seems logical to me that SP parity might be a trigger to close out.