In this research paper, we match pairs of equity stocks in the Indian stock market by comparing the movement of the stock prices of various stocks belonging to the same sector; the stocks that show a similar pattern of movement over a specific period of time are taken into consideration for our raw data. Further, we run two regression equations in case of each pair; The first regression equation takes one stock of the pair as independent, other as dependent and vice versa in case of the second regression equation. The regression equation with the least error ratio is selected and an Augmented Dickey-Fuller (ADF) test is done on the residual values of the selected regression equation to check for co-integration between the selected pairs. The Z-Scores of these residual values is considered for selecting the strategic entry and exit points of the relative value trade. The aggregate return we earn via this method in the Indian equity market, beats the risk-free rate, thus providing us with a viable statistical arbitrage opportunity. This is a market neutral arbitrage algorithm which is very similar to the Engle-Granger method, but nonetheless, a simpler version of the same which could potentially give sophisticated investors a net average annualized return of 20-30% Keywords: Pairs trading, Statistical Arbitrage, ADF test, Co-integration, Stationarity, Z-Score