Trading Correlation on Crude Oil Futures - Brent Oil vs WTI

West Texas Oil and Brent Crude Oil are well correlated. Recently we spotted a discrepancy between them leading to overpricing of Brent Futures and under pricing of WTI Futures. Thus we made a synthetic position consist of equal dollar weighted long position in WTI and Short Position in Brent Futures. Trade was initiated on 08 of September and will be closed when the gap in the relative strength between the two futures on 15 minute chart disappear.

Comment:

The chart seems a bit strange with this uptick in BCOUSD which is artificial and not true, but the trade is still in play and good chances it will get in the money.