Correlation Between Jiaozuo Wanfang and Henan Shuanghui
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jiaozuo Wanfang Aluminum and Henan Shuanghui Investment, you can compare the effects of market volatilities on Jiaozuo Wanfang and Henan Shuanghui 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 Jiaozuo Wanfang with a short position of Henan Shuanghui. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jiaozuo Wanfang and Henan Shuanghui.
Diversification Opportunities for Jiaozuo Wanfang and Henan Shuanghui
-0.28 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Jiaozuo and Henan is -0.28. Overlapping area represents the amount of risk that can be diversified away by holding Jiaozuo Wanfang Aluminum and Henan Shuanghui Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Henan Shuanghui Inve and Jiaozuo Wanfang 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 Jiaozuo Wanfang Aluminum are associated (or correlated) with Henan Shuanghui. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Henan Shuanghui Inve has no effect on the direction of Jiaozuo Wanfang i.e., Jiaozuo Wanfang and Henan Shuanghui go up and down completely randomly.
Pair Corralation between Jiaozuo Wanfang and Henan Shuanghui
Assuming the 90 days trading horizon Jiaozuo Wanfang Aluminum is expected to generate 1.72 times more return on investment than Henan Shuanghui. However, Jiaozuo Wanfang is 1.72 times more volatile than Henan Shuanghui Investment. It trades about 0.21 of its potential returns per unit of risk. Henan Shuanghui Investment is currently generating about 0.04 per unit of risk. If you would invest 653.00 in Jiaozuo Wanfang Aluminum on October 30, 2024 and sell it today you would earn a total of 63.00 from holding Jiaozuo Wanfang Aluminum or generate 9.65% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jiaozuo Wanfang Aluminum vs. Henan Shuanghui Investment
Performance |
| Timeline |
| Jiaozuo Wanfang Aluminum |
| Henan Shuanghui Inve |
Jiaozuo Wanfang and Henan Shuanghui Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jiaozuo Wanfang and Henan Shuanghui
The main advantage of trading using opposite Jiaozuo Wanfang and Henan Shuanghui positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jiaozuo Wanfang position performs unexpectedly, Henan Shuanghui 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 Henan Shuanghui will offset losses from the drop in Henan Shuanghui's long position.| Jiaozuo Wanfang vs. Namchow Food Group | Jiaozuo Wanfang vs. Yankershop Food Co | Jiaozuo Wanfang vs. Guilin Seamild Foods | Jiaozuo Wanfang vs. Sanquan Food Co |
| Henan Shuanghui vs. Kweichow Moutai Co | Henan Shuanghui vs. Contemporary Amperex Technology | Henan Shuanghui vs. G bits Network Technology | Henan Shuanghui vs. Beijing Roborock Technology |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated |