Correlation Between Guocheng Mining and Humanwell Healthcare
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guocheng Mining Co and Humanwell Healthcare Group, you can compare the effects of market volatilities on Guocheng Mining and Humanwell Healthcare 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 Guocheng Mining with a short position of Humanwell Healthcare. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guocheng Mining and Humanwell Healthcare.
Diversification Opportunities for Guocheng Mining and Humanwell Healthcare
0.85 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Guocheng and Humanwell is 0.85. Overlapping area represents the amount of risk that can be diversified away by holding Guocheng Mining Co and Humanwell Healthcare Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Humanwell Healthcare and Guocheng Mining 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 Guocheng Mining Co are associated (or correlated) with Humanwell Healthcare. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Humanwell Healthcare has no effect on the direction of Guocheng Mining i.e., Guocheng Mining and Humanwell Healthcare go up and down completely randomly.
Pair Corralation between Guocheng Mining and Humanwell Healthcare
Assuming the 90 days trading horizon Guocheng Mining Co is expected to generate 1.73 times more return on investment than Humanwell Healthcare. However, Guocheng Mining is 1.73 times more volatile than Humanwell Healthcare Group. It trades about 0.2 of its potential returns per unit of risk. Humanwell Healthcare Group is currently generating about 0.15 per unit of risk. If you would invest 1,192 in Guocheng Mining Co on September 4, 2024 and sell it today you would earn a total of 197.00 from holding Guocheng Mining Co or generate 16.53% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guocheng Mining Co vs. Humanwell Healthcare Group
Performance |
| Timeline |
| Guocheng Mining |
| Humanwell Healthcare |
Guocheng Mining and Humanwell Healthcare Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guocheng Mining and Humanwell Healthcare
The main advantage of trading using opposite Guocheng Mining and Humanwell Healthcare positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guocheng Mining position performs unexpectedly, Humanwell Healthcare 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 Humanwell Healthcare will offset losses from the drop in Humanwell Healthcare's long position.| Guocheng Mining vs. Xiangyang Automobile Bearing | Guocheng Mining vs. Xizi Clean Energy | Guocheng Mining vs. Elite Color Environmental | Guocheng Mining vs. Iat Automobile Technology |
| Humanwell Healthcare vs. Industrial Bank Co | Humanwell Healthcare vs. Zijin Mining Group | Humanwell Healthcare vs. Jiangxi Naipu Mining | Humanwell Healthcare vs. Guocheng Mining 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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Other Complementary Tools
| CEOs Directory Screen CEOs from public companies around the world | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios |