Correlation Between Haima Automobile and GreenTech Environmental
Specify exactly 2 symbols:
By analyzing existing cross correlation between Haima Automobile Group and GreenTech Environmental Co, you can compare the effects of market volatilities on Haima Automobile and GreenTech Environmental 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 GreenTech Environmental. Check out your portfolio center. Please also check ongoing floating volatility patterns of Haima Automobile and GreenTech Environmental.
Diversification Opportunities for Haima Automobile and GreenTech Environmental
0.81 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Haima and GreenTech is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding Haima Automobile Group and GreenTech Environmental Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GreenTech Environmental 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 GreenTech Environmental. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GreenTech Environmental has no effect on the direction of Haima Automobile i.e., Haima Automobile and GreenTech Environmental go up and down completely randomly.
Pair Corralation between Haima Automobile and GreenTech Environmental
Assuming the 90 days trading horizon Haima Automobile Group is expected to generate 1.25 times more return on investment than GreenTech Environmental. However, Haima Automobile is 1.25 times more volatile than GreenTech Environmental Co. It trades about 0.11 of its potential returns per unit of risk. GreenTech Environmental Co is currently generating about 0.12 per unit of risk. If you would invest 399.00 in Haima Automobile Group on August 29, 2024 and sell it today you would earn a total of 44.00 from holding Haima Automobile Group or generate 11.03% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Haima Automobile Group vs. GreenTech Environmental Co
Performance |
| Timeline |
| Haima Automobile |
| GreenTech Environmental |
Haima Automobile and GreenTech Environmental Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Haima Automobile and GreenTech Environmental
The main advantage of trading using opposite Haima Automobile and GreenTech Environmental positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Haima Automobile position performs unexpectedly, GreenTech Environmental 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 GreenTech Environmental will offset losses from the drop in GreenTech Environmental's long position.| Haima Automobile vs. Lutian Machinery Co | Haima Automobile vs. China Longyuan Power | Haima Automobile vs. Changshu Tongrun Auto | Haima Automobile vs. PetroChina Co Ltd |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |