Correlation Between Jiangnan Mould and Sinosteel Luonai
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jiangnan Mould Plastic and Sinosteel Luonai Materials, you can compare the effects of market volatilities on Jiangnan Mould and Sinosteel Luonai 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 Jiangnan Mould with a short position of Sinosteel Luonai. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jiangnan Mould and Sinosteel Luonai.
Diversification Opportunities for Jiangnan Mould and Sinosteel Luonai
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Jiangnan and Sinosteel is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Jiangnan Mould Plastic and Sinosteel Luonai Materials in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sinosteel Luonai Mat and Jiangnan Mould 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 Jiangnan Mould Plastic are associated (or correlated) with Sinosteel Luonai. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sinosteel Luonai Mat has no effect on the direction of Jiangnan Mould i.e., Jiangnan Mould and Sinosteel Luonai go up and down completely randomly.
Pair Corralation between Jiangnan Mould and Sinosteel Luonai
Assuming the 90 days trading horizon Jiangnan Mould is expected to generate 1.13 times less return on investment than Sinosteel Luonai. But when comparing it to its historical volatility, Jiangnan Mould Plastic is 1.18 times less risky than Sinosteel Luonai. It trades about 0.2 of its potential returns per unit of risk. Sinosteel Luonai Materials is currently generating about 0.2 of returns per unit of risk over similar time horizon. If you would invest 298.00 in Sinosteel Luonai Materials on September 12, 2024 and sell it today you would earn a total of 141.00 from holding Sinosteel Luonai Materials or generate 47.32% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jiangnan Mould Plastic vs. Sinosteel Luonai Materials
Performance |
| Timeline |
| Jiangnan Mould Plastic |
| Sinosteel Luonai Mat |
Jiangnan Mould and Sinosteel Luonai Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jiangnan Mould and Sinosteel Luonai
The main advantage of trading using opposite Jiangnan Mould and Sinosteel Luonai positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jiangnan Mould position performs unexpectedly, Sinosteel Luonai 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 Sinosteel Luonai will offset losses from the drop in Sinosteel Luonai's long position.| Jiangnan Mould vs. Suzhou Douson Drilling | Jiangnan Mould vs. Zhejiang Construction Investment | Jiangnan Mould vs. Xiandai Investment Co | Jiangnan Mould vs. Lander Sports Development |
| Sinosteel Luonai vs. Zijin Mining Group | Sinosteel Luonai vs. Wanhua Chemical Group | Sinosteel Luonai vs. Baoshan Iron Steel | Sinosteel Luonai vs. Rongsheng Petrochemical 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 Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Stocks Directory Find actively traded stocks across global markets | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |