Correlation Between Nanhua Bio and Sharetronic Data
Specify exactly 2 symbols:
By analyzing existing cross correlation between Nanhua Bio Medicine and Sharetronic Data Technology, you can compare the effects of market volatilities on Nanhua Bio and Sharetronic Data and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Nanhua Bio with a short position of Sharetronic Data. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nanhua Bio and Sharetronic Data.
Diversification Opportunities for Nanhua Bio and Sharetronic Data
0.87 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Nanhua and Sharetronic is 0.87. Overlapping area represents the amount of risk that can be diversified away by holding Nanhua Bio Medicine and Sharetronic Data Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sharetronic Data Tec and Nanhua Bio is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Nanhua Bio Medicine are associated (or correlated) with Sharetronic Data. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sharetronic Data Tec has no effect on the direction of Nanhua Bio i.e., Nanhua Bio and Sharetronic Data go up and down completely randomly.
Pair Corralation between Nanhua Bio and Sharetronic Data
Assuming the 90 days trading horizon Nanhua Bio Medicine is expected to under-perform the Sharetronic Data. But the stock apears to be less risky and, when comparing its historical volatility, Nanhua Bio Medicine is 1.71 times less risky than Sharetronic Data. The stock trades about -0.02 of its potential returns per unit of risk. The Sharetronic Data Technology is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 9,236 in Sharetronic Data Technology on September 12, 2024 and sell it today you would earn a total of 941.00 from holding Sharetronic Data Technology or generate 10.19% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Nanhua Bio Medicine vs. Sharetronic Data Technology
Performance |
| Timeline |
| Nanhua Bio Medicine |
| Sharetronic Data Tec |
Nanhua Bio and Sharetronic Data Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nanhua Bio and Sharetronic Data
The main advantage of trading using opposite Nanhua Bio and Sharetronic Data positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nanhua Bio position performs unexpectedly, Sharetronic Data can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Sharetronic Data will offset losses from the drop in Sharetronic Data's long position.| Nanhua Bio vs. Kweichow Moutai Co | Nanhua Bio vs. Shenzhen Mindray Bio Medical | Nanhua Bio vs. G bits Network Technology | Nanhua Bio vs. Beijing Roborock Technology |
| Sharetronic Data vs. Lutian Machinery Co | Sharetronic Data vs. PetroChina Co Ltd | Sharetronic Data vs. Bank of China | Sharetronic Data vs. Gansu Jiu Steel |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.
Other Complementary Tools
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |