Successful pairs trading depends on the trader's ability to spot anomalies in the market and to act quickly on them.
These anomalies may persist for long periods, or, as is usually the case, disappear very quickly.It can take time to identify the price anomalies, as well as some discretion to determine when to enter and exit trades.These price anomalies do not occur very often, so it is important to have a solid plan to spot them and then to take the appropriate action when they do appear.Pairs trading results in double commissions being paid to the CFD provider since these trades involve two positions.