Correlation Between Shaanxi Energy and Wuhan Hvsen
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shaanxi Energy Investment and Wuhan Hvsen Biotechnology, you can compare the effects of market volatilities on Shaanxi Energy and Wuhan Hvsen 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 Shaanxi Energy with a short position of Wuhan Hvsen. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shaanxi Energy and Wuhan Hvsen.
Diversification Opportunities for Shaanxi Energy and Wuhan Hvsen
0.44 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Shaanxi and Wuhan is 0.44. Overlapping area represents the amount of risk that can be diversified away by holding Shaanxi Energy Investment and Wuhan Hvsen Biotechnology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Wuhan Hvsen Biotechnology and Shaanxi Energy 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 Shaanxi Energy Investment are associated (or correlated) with Wuhan Hvsen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Wuhan Hvsen Biotechnology has no effect on the direction of Shaanxi Energy i.e., Shaanxi Energy and Wuhan Hvsen go up and down completely randomly.
Pair Corralation between Shaanxi Energy and Wuhan Hvsen
Assuming the 90 days trading horizon Shaanxi Energy Investment is expected to generate 0.57 times more return on investment than Wuhan Hvsen. However, Shaanxi Energy Investment is 1.75 times less risky than Wuhan Hvsen. It trades about 0.01 of its potential returns per unit of risk. Wuhan Hvsen Biotechnology is currently generating about -0.01 per unit of risk. If you would invest 979.00 in Shaanxi Energy Investment on September 12, 2024 and sell it today you would lose (4.00) from holding Shaanxi Energy Investment or give up 0.41% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Shaanxi Energy Investment vs. Wuhan Hvsen Biotechnology
Performance |
| Timeline |
| Shaanxi Energy Investment |
| Wuhan Hvsen Biotechnology |
Shaanxi Energy and Wuhan Hvsen Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shaanxi Energy and Wuhan Hvsen
The main advantage of trading using opposite Shaanxi Energy and Wuhan Hvsen positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shaanxi Energy position performs unexpectedly, Wuhan Hvsen 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 Wuhan Hvsen will offset losses from the drop in Wuhan Hvsen's long position.| Shaanxi Energy vs. Zhejiang Kingland Pipeline | Shaanxi Energy vs. Gansu Jiu Steel | Shaanxi Energy vs. Shandong Mining Machinery | Shaanxi Energy vs. Aba Chemicals Corp |
| Wuhan Hvsen vs. Cultural Investment Holdings | Wuhan Hvsen vs. Gome Telecom Equipment | Wuhan Hvsen vs. Holitech Technology Co | Wuhan Hvsen vs. Zotye Automobile 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 Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
Other Complementary Tools
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |