DIfferent Prices at different sites

[Yuppie13]

I spottet two competely different price for the same index at 2 Spread betting companies (regular market hours). The funny thing is the spread went in both directions and at some point the prices actually matched. The spread was up to 0.2% of the index value.
Any reason for this ? Why would they quote differently ? Do they think they can somehow "balance their books" like bookies by quoting unfavourable prices to either the short or long ?

 

[fast trader7]

They all have different prices my friend. IG price is different from CMC.CS and so on...
Try to take advantage of the price difference.
Let us know if you find any real price difference!

 

[Yuppie13]

Hi,

Thanks for the answer. Just WHY do they have different prices ? Is it really that they hedge like bookies, balancing the book ? Theoretically, you can take advantage of this however, the question is WHEN they start to go closer to the real index value again. I will keep you updated if I could generate a profitable trade through that.