Correlation Between Ningbo Kangqiang and Allwin Telecommunicatio
Specify exactly 2 symbols:
By analyzing existing cross correlation between Ningbo Kangqiang Electronics and Allwin Telecommunication Co, you can compare the effects of market volatilities on Ningbo Kangqiang and Allwin Telecommunicatio 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 Ningbo Kangqiang with a short position of Allwin Telecommunicatio. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ningbo Kangqiang and Allwin Telecommunicatio.
Diversification Opportunities for Ningbo Kangqiang and Allwin Telecommunicatio
-0.12 | Correlation Coefficient |
Good diversification
The 3 months correlation between Ningbo and Allwin is -0.12. Overlapping area represents the amount of risk that can be diversified away by holding Ningbo Kangqiang Electronics and Allwin Telecommunication Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Allwin Telecommunicatio and Ningbo Kangqiang 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 Ningbo Kangqiang Electronics are associated (or correlated) with Allwin Telecommunicatio. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Allwin Telecommunicatio has no effect on the direction of Ningbo Kangqiang i.e., Ningbo Kangqiang and Allwin Telecommunicatio go up and down completely randomly.
Pair Corralation between Ningbo Kangqiang and Allwin Telecommunicatio
Assuming the 90 days trading horizon Ningbo Kangqiang Electronics is expected to generate 1.17 times more return on investment than Allwin Telecommunicatio. However, Ningbo Kangqiang is 1.17 times more volatile than Allwin Telecommunication Co. It trades about 0.22 of its potential returns per unit of risk. Allwin Telecommunication Co is currently generating about -0.41 per unit of risk. If you would invest 1,442 in Ningbo Kangqiang Electronics on October 16, 2024 and sell it today you would earn a total of 298.00 from holding Ningbo Kangqiang Electronics or generate 20.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Ningbo Kangqiang Electronics vs. Allwin Telecommunication Co
Performance |
| Timeline |
| Ningbo Kangqiang Ele |
| Allwin Telecommunicatio |
Ningbo Kangqiang and Allwin Telecommunicatio Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ningbo Kangqiang and Allwin Telecommunicatio
The main advantage of trading using opposite Ningbo Kangqiang and Allwin Telecommunicatio positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ningbo Kangqiang position performs unexpectedly, Allwin Telecommunicatio 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 Allwin Telecommunicatio will offset losses from the drop in Allwin Telecommunicatio's long position.| Ningbo Kangqiang vs. Soyea Technology Co | Ningbo Kangqiang vs. Guangzhou KingTeller Technology | Ningbo Kangqiang vs. Anhui Jianghuai Automobile | Ningbo Kangqiang vs. Iat Automobile Technology |
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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
Other Complementary Tools
| 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 | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device |