Correlation Between Telling Telecommunicatio and Jinhe Biotechnology
Specify exactly 2 symbols:
By analyzing existing cross correlation between Telling Telecommunication Holding and Jinhe Biotechnology Co, you can compare the effects of market volatilities on Telling Telecommunicatio and Jinhe Biotechnology 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 Telling Telecommunicatio with a short position of Jinhe Biotechnology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Telling Telecommunicatio and Jinhe Biotechnology.
Diversification Opportunities for Telling Telecommunicatio and Jinhe Biotechnology
0.92 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Telling and Jinhe is 0.92. Overlapping area represents the amount of risk that can be diversified away by holding Telling Telecommunication Hold and Jinhe Biotechnology Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jinhe Biotechnology and Telling Telecommunicatio 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 Telling Telecommunication Holding are associated (or correlated) with Jinhe Biotechnology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jinhe Biotechnology has no effect on the direction of Telling Telecommunicatio i.e., Telling Telecommunicatio and Jinhe Biotechnology go up and down completely randomly.
Pair Corralation between Telling Telecommunicatio and Jinhe Biotechnology
Assuming the 90 days trading horizon Telling Telecommunication Holding is expected to under-perform the Jinhe Biotechnology. In addition to that, Telling Telecommunicatio is 2.8 times more volatile than Jinhe Biotechnology Co. It trades about -0.04 of its total potential returns per unit of risk. Jinhe Biotechnology Co is currently generating about 0.01 per unit of volatility. If you would invest 447.00 in Jinhe Biotechnology Co on August 28, 2024 and sell it today you would earn a total of 1.00 from holding Jinhe Biotechnology Co or generate 0.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Telling Telecommunication Hold vs. Jinhe Biotechnology Co
Performance |
| Timeline |
| Telling Telecommunicatio |
| Jinhe Biotechnology |
Telling Telecommunicatio and Jinhe Biotechnology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Telling Telecommunicatio and Jinhe Biotechnology
The main advantage of trading using opposite Telling Telecommunicatio and Jinhe Biotechnology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Telling Telecommunicatio position performs unexpectedly, Jinhe Biotechnology 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 Jinhe Biotechnology will offset losses from the drop in Jinhe Biotechnology's long position.The idea behind Telling Telecommunication Holding and Jinhe Biotechnology Co pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
| Jinhe Biotechnology vs. JCHX Mining Management | Jinhe Biotechnology vs. Xinjiang Baodi Mining | Jinhe Biotechnology vs. Gansu Huangtai Wine marketing | Jinhe Biotechnology vs. Harbin Air Conditioning |
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 Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Transaction History View history of all your transactions and understand their impact on performance |