Correlation Between Jiugui Liquor and Xinya Electronic
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jiugui Liquor Co and Xinya Electronic Co, you can compare the effects of market volatilities on Jiugui Liquor and Xinya Electronic 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 Jiugui Liquor with a short position of Xinya Electronic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jiugui Liquor and Xinya Electronic.
Diversification Opportunities for Jiugui Liquor and Xinya Electronic
0.19 | Correlation Coefficient |
Average diversification
The 3 months correlation between Jiugui and Xinya is 0.19. Overlapping area represents the amount of risk that can be diversified away by holding Jiugui Liquor Co and Xinya Electronic Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinya Electronic and Jiugui Liquor 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 Jiugui Liquor Co are associated (or correlated) with Xinya Electronic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinya Electronic has no effect on the direction of Jiugui Liquor i.e., Jiugui Liquor and Xinya Electronic go up and down completely randomly.
Pair Corralation between Jiugui Liquor and Xinya Electronic
Assuming the 90 days trading horizon Jiugui Liquor Co is expected to under-perform the Xinya Electronic. But the stock apears to be less risky and, when comparing its historical volatility, Jiugui Liquor Co is 1.33 times less risky than Xinya Electronic. The stock trades about -0.08 of its potential returns per unit of risk. The Xinya Electronic Co is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 974.00 in Xinya Electronic Co on October 15, 2024 and sell it today you would earn a total of 461.00 from holding Xinya Electronic Co or generate 47.33% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jiugui Liquor Co vs. Xinya Electronic Co
Performance |
| Timeline |
| Jiugui Liquor |
| Xinya Electronic |
Jiugui Liquor and Xinya Electronic Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jiugui Liquor and Xinya Electronic
The main advantage of trading using opposite Jiugui Liquor and Xinya Electronic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jiugui Liquor position performs unexpectedly, Xinya Electronic 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 Xinya Electronic will offset losses from the drop in Xinya Electronic's long position.| Jiugui Liquor vs. MayAir Technology Co | Jiugui Liquor vs. Jiangsu Yueda Investment | Jiugui Liquor vs. Chengdu Xingrong Investment | Jiugui Liquor vs. Hainan 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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| 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 | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities |