Correlation Between Shaanxi Meineng and Dow Jones
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shaanxi Meineng Clean and Dow Jones Industrial, you can compare the effects of market volatilities on Shaanxi Meineng and Dow Jones 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 Meineng with a short position of Dow Jones. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shaanxi Meineng and Dow Jones.
Diversification Opportunities for Shaanxi Meineng and Dow Jones
0.79 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Shaanxi and Dow is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding Shaanxi Meineng Clean and Dow Jones Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dow Jones Industrial and Shaanxi Meineng 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 Meineng Clean are associated (or correlated) with Dow Jones. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dow Jones Industrial has no effect on the direction of Shaanxi Meineng i.e., Shaanxi Meineng and Dow Jones go up and down completely randomly.
Pair Corralation between Shaanxi Meineng and Dow Jones
Assuming the 90 days trading horizon Shaanxi Meineng Clean is expected to under-perform the Dow Jones. In addition to that, Shaanxi Meineng is 4.12 times more volatile than Dow Jones Industrial. It trades about -0.01 of its total potential returns per unit of risk. Dow Jones Industrial is currently generating about 0.09 per unit of volatility. If you would invest 3,302,749 in Dow Jones Industrial on September 12, 2024 and sell it today you would earn a total of 1,122,034 from holding Dow Jones Industrial or generate 33.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 96.36% |
| Values | Daily Returns |
Shaanxi Meineng Clean vs. Dow Jones Industrial
Performance |
| Timeline |
Shaanxi Meineng and Dow Jones Volatility Contrast
Predicted Return Density |
| Returns |
Shaanxi Meineng Clean
Pair trading matchups for Shaanxi Meineng
Dow Jones Industrial
Pair trading matchups for Dow Jones
Pair Trading with Shaanxi Meineng and Dow Jones
The main advantage of trading using opposite Shaanxi Meineng and Dow Jones positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shaanxi Meineng position performs unexpectedly, Dow Jones 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 Dow Jones will offset losses from the drop in Dow Jones' long position.| Shaanxi Meineng vs. Gansu Jiu Steel | Shaanxi Meineng vs. Shandong Mining Machinery | Shaanxi Meineng vs. Aba Chemicals Corp | Shaanxi Meineng vs. BlueFocus Communication Group |
| Dow Jones vs. Aeye Inc | Dow Jones vs. Gentex | Dow Jones vs. Marine Products | Dow Jones vs. CarsalesCom Ltd ADR |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |