Correlation Between Easyhome New and Suzhou Novoprotein
Specify exactly 2 symbols:
By analyzing existing cross correlation between Easyhome New Retail and Suzhou Novoprotein Scientific, you can compare the effects of market volatilities on Easyhome New and Suzhou Novoprotein 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 Easyhome New with a short position of Suzhou Novoprotein. Check out your portfolio center. Please also check ongoing floating volatility patterns of Easyhome New and Suzhou Novoprotein.
Diversification Opportunities for Easyhome New and Suzhou Novoprotein
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Easyhome and Suzhou is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Easyhome New Retail and Suzhou Novoprotein Scientific in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Suzhou Novoprotein and Easyhome New 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 Easyhome New Retail are associated (or correlated) with Suzhou Novoprotein. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Suzhou Novoprotein has no effect on the direction of Easyhome New i.e., Easyhome New and Suzhou Novoprotein go up and down completely randomly.
Pair Corralation between Easyhome New and Suzhou Novoprotein
Assuming the 90 days trading horizon Easyhome New Retail is expected to generate 0.87 times more return on investment than Suzhou Novoprotein. However, Easyhome New Retail is 1.14 times less risky than Suzhou Novoprotein. It trades about 0.01 of its potential returns per unit of risk. Suzhou Novoprotein Scientific is currently generating about -0.03 per unit of risk. If you would invest 293.00 in Easyhome New Retail on August 30, 2024 and sell it today you would lose (1.00) from holding Easyhome New Retail or give up 0.34% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Easyhome New Retail vs. Suzhou Novoprotein Scientific
Performance |
| Timeline |
| Easyhome New Retail |
| Suzhou Novoprotein |
Easyhome New and Suzhou Novoprotein Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Easyhome New and Suzhou Novoprotein
The main advantage of trading using opposite Easyhome New and Suzhou Novoprotein positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Easyhome New position performs unexpectedly, Suzhou Novoprotein 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 Suzhou Novoprotein will offset losses from the drop in Suzhou Novoprotein's long position.| Easyhome New vs. China Petroleum Chemical | Easyhome New vs. PetroChina Co Ltd | Easyhome New vs. China State Construction | Easyhome New vs. China Railway Group |
| Suzhou Novoprotein vs. Shandong Longquan Pipeline | Suzhou Novoprotein vs. Xiandai Investment Co | Suzhou Novoprotein vs. Henan Shuanghui Investment | Suzhou Novoprotein vs. Kunwu Jiuding Investment |
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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Stocks Directory Find actively traded stocks across global markets |