I have been looking into pairs trading strategies (stationary linear combination of multiple securities) for options. Multiple related options or option and underlying over small periods of time such that change in delta and time decay don't become a significant factor.
I can not find any literature around this for options. It seems like everyone doing stat arb in options is basically selling/buying volatility. Is there any particular reason for not pair trading options? Could someone please point me to relevant literature? Thanks.