Correlation Between Haima Automobile and Fibocom Wireless
Specify exactly 2 symbols:
By analyzing existing cross correlation between Haima Automobile Group and Fibocom Wireless, you can compare the effects of market volatilities on Haima Automobile and Fibocom Wireless 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 Haima Automobile with a short position of Fibocom Wireless. Check out your portfolio center. Please also check ongoing floating volatility patterns of Haima Automobile and Fibocom Wireless.
Diversification Opportunities for Haima Automobile and Fibocom Wireless
-0.39 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Haima and Fibocom is -0.39. Overlapping area represents the amount of risk that can be diversified away by holding Haima Automobile Group and Fibocom Wireless in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Fibocom Wireless and Haima Automobile 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 Haima Automobile Group are associated (or correlated) with Fibocom Wireless. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Fibocom Wireless has no effect on the direction of Haima Automobile i.e., Haima Automobile and Fibocom Wireless go up and down completely randomly.
Pair Corralation between Haima Automobile and Fibocom Wireless
Assuming the 90 days trading horizon Haima Automobile is expected to generate 5.21 times less return on investment than Fibocom Wireless. But when comparing it to its historical volatility, Haima Automobile Group is 1.32 times less risky than Fibocom Wireless. It trades about 0.05 of its potential returns per unit of risk. Fibocom Wireless is currently generating about 0.18 of returns per unit of risk over similar time horizon. If you would invest 1,177 in Fibocom Wireless on November 3, 2024 and sell it today you would earn a total of 1,835 from holding Fibocom Wireless or generate 155.9% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Haima Automobile Group vs. Fibocom Wireless
Performance |
| Timeline |
| Haima Automobile |
| Fibocom Wireless |
Haima Automobile and Fibocom Wireless Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Haima Automobile and Fibocom Wireless
The main advantage of trading using opposite Haima Automobile and Fibocom Wireless positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Haima Automobile position performs unexpectedly, Fibocom Wireless 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 Fibocom Wireless will offset losses from the drop in Fibocom Wireless' long position.| Haima Automobile vs. China Life Insurance | Haima Automobile vs. National Silicon Industry | Haima Automobile vs. Shanghai OPM Biosciences | Haima Automobile vs. Nanhua Bio Medicine |
| Fibocom Wireless vs. Fiberhome Telecommunication Technologies | Fibocom Wireless vs. Jiangsu Hoperun Software | Fibocom Wireless vs. 360 Security Technology | Fibocom Wireless vs. Linkage Software Co |
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 Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
Other Complementary Tools
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon |