Correlation Between Lonkey Industrial and GKHT Medical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Lonkey Industrial Co and GKHT Medical Technology, you can compare the effects of market volatilities on Lonkey Industrial and GKHT Medical 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 Lonkey Industrial with a short position of GKHT Medical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Lonkey Industrial and GKHT Medical.
Diversification Opportunities for Lonkey Industrial and GKHT Medical
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Lonkey and GKHT is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Lonkey Industrial Co and GKHT Medical Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GKHT Medical Technology and Lonkey Industrial 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 Lonkey Industrial Co are associated (or correlated) with GKHT Medical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GKHT Medical Technology has no effect on the direction of Lonkey Industrial i.e., Lonkey Industrial and GKHT Medical go up and down completely randomly.
Pair Corralation between Lonkey Industrial and GKHT Medical
Assuming the 90 days trading horizon Lonkey Industrial Co is expected to generate 0.61 times more return on investment than GKHT Medical. However, Lonkey Industrial Co is 1.63 times less risky than GKHT Medical. It trades about 0.02 of its potential returns per unit of risk. GKHT Medical Technology is currently generating about -0.01 per unit of risk. If you would invest 328.00 in Lonkey Industrial Co on September 12, 2024 and sell it today you would earn a total of 16.00 from holding Lonkey Industrial Co or generate 4.88% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Lonkey Industrial Co vs. GKHT Medical Technology
Performance |
| Timeline |
| Lonkey Industrial |
| GKHT Medical Technology |
Lonkey Industrial and GKHT Medical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Lonkey Industrial and GKHT Medical
The main advantage of trading using opposite Lonkey Industrial and GKHT Medical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Lonkey Industrial position performs unexpectedly, GKHT Medical 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 GKHT Medical will offset losses from the drop in GKHT Medical's long position.| Lonkey Industrial vs. China Petroleum Chemical | Lonkey Industrial vs. PetroChina Co Ltd | Lonkey Industrial vs. China State Construction | Lonkey Industrial vs. China Railway Group |
| GKHT Medical vs. China Publishing Media | GKHT Medical vs. Beijing Kaiwen Education | GKHT Medical vs. China Aluminum International | GKHT Medical vs. Jiangsu Jinling Sports |
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |