Correlation Between Henan Shuanghui and Holitech Technology
Specify exactly 2 symbols:
By analyzing existing cross correlation between Henan Shuanghui Investment and Holitech Technology Co, you can compare the effects of market volatilities on Henan Shuanghui and Holitech Technology 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 Henan Shuanghui with a short position of Holitech Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Henan Shuanghui and Holitech Technology.
Diversification Opportunities for Henan Shuanghui and Holitech Technology
0.36 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Henan and Holitech is 0.36. Overlapping area represents the amount of risk that can be diversified away by holding Henan Shuanghui Investment and Holitech Technology Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Holitech Technology and Henan Shuanghui 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 Henan Shuanghui Investment are associated (or correlated) with Holitech Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Holitech Technology has no effect on the direction of Henan Shuanghui i.e., Henan Shuanghui and Holitech Technology go up and down completely randomly.
Pair Corralation between Henan Shuanghui and Holitech Technology
Assuming the 90 days trading horizon Henan Shuanghui is expected to generate 32.52 times less return on investment than Holitech Technology. But when comparing it to its historical volatility, Henan Shuanghui Investment is 3.11 times less risky than Holitech Technology. It trades about 0.02 of its potential returns per unit of risk. Holitech Technology Co is currently generating about 0.21 of returns per unit of risk over similar time horizon. If you would invest 131.00 in Holitech Technology Co on October 14, 2024 and sell it today you would earn a total of 74.00 from holding Holitech Technology Co or generate 56.49% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Henan Shuanghui Investment vs. Holitech Technology Co
Performance |
| Timeline |
| Henan Shuanghui Inve |
| Holitech Technology |
Henan Shuanghui and Holitech Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Henan Shuanghui and Holitech Technology
The main advantage of trading using opposite Henan Shuanghui and Holitech Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Henan Shuanghui position performs unexpectedly, Holitech Technology 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 Holitech Technology will offset losses from the drop in Holitech Technology's long position.| Henan Shuanghui vs. Harvest Fund Management | Henan Shuanghui vs. Great Sun Foods Co | Henan Shuanghui vs. Dalian Thermal Power | Henan Shuanghui vs. Guangdong Wens Foodstuff |
| Holitech Technology vs. Northern United Publishing | Holitech Technology vs. Tianjin Hi Tech Development | Holitech Technology vs. Wuhan Yangtze Communication | Holitech Technology vs. Qtone Education Group |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like |