Correlation Between Hengli Industrial and Ye Chiu
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hengli Industrial Development and Ye Chiu Metal, you can compare the effects of market volatilities on Hengli Industrial and Ye Chiu 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 Hengli Industrial with a short position of Ye Chiu. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hengli Industrial and Ye Chiu.
Diversification Opportunities for Hengli Industrial and Ye Chiu
0.43 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Hengli and 601388 is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding Hengli Industrial Development and Ye Chiu Metal in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ye Chiu Metal and Hengli 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 Hengli Industrial Development are associated (or correlated) with Ye Chiu. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ye Chiu Metal has no effect on the direction of Hengli Industrial i.e., Hengli Industrial and Ye Chiu go up and down completely randomly.
Pair Corralation between Hengli Industrial and Ye Chiu
Assuming the 90 days trading horizon Hengli Industrial Development is expected to generate 1.39 times more return on investment than Ye Chiu. However, Hengli Industrial is 1.39 times more volatile than Ye Chiu Metal. It trades about 0.01 of its potential returns per unit of risk. Ye Chiu Metal is currently generating about 0.0 per unit of risk. If you would invest 244.00 in Hengli Industrial Development on September 3, 2024 and sell it today you would lose (14.00) from holding Hengli Industrial Development or give up 5.74% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hengli Industrial Development vs. Ye Chiu Metal
Performance |
| Timeline |
| Hengli Industrial |
| Ye Chiu Metal |
Hengli Industrial and Ye Chiu Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hengli Industrial and Ye Chiu
The main advantage of trading using opposite Hengli Industrial and Ye Chiu positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hengli Industrial position performs unexpectedly, Ye Chiu 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 Ye Chiu will offset losses from the drop in Ye Chiu's long position.| Hengli Industrial vs. China Sports Industry | Hengli Industrial vs. Sunny Loan Top | Hengli Industrial vs. Jilin Jlu Communication | Hengli Industrial vs. Guangdong Shenglu Telecommunication |
| Ye Chiu vs. Zijin Mining Group | Ye Chiu vs. Baoshan Iron Steel | Ye Chiu vs. Rongsheng Petrochemical Co | Ye Chiu vs. Hoshine Silicon Ind |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |