Correlation Between Ningbo Tech and Guangzhou Zhujiang
Specify exactly 2 symbols:
By analyzing existing cross correlation between Ningbo Tech Bank Co and Guangzhou Zhujiang Brewery, you can compare the effects of market volatilities on Ningbo Tech and Guangzhou Zhujiang 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 Tech with a short position of Guangzhou Zhujiang. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ningbo Tech and Guangzhou Zhujiang.
Diversification Opportunities for Ningbo Tech and Guangzhou Zhujiang
-0.57 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Ningbo and Guangzhou is -0.57. Overlapping area represents the amount of risk that can be diversified away by holding Ningbo Tech Bank Co and Guangzhou Zhujiang Brewery in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guangzhou Zhujiang and Ningbo Tech 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 Tech Bank Co are associated (or correlated) with Guangzhou Zhujiang. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guangzhou Zhujiang has no effect on the direction of Ningbo Tech i.e., Ningbo Tech and Guangzhou Zhujiang go up and down completely randomly.
Pair Corralation between Ningbo Tech and Guangzhou Zhujiang
Assuming the 90 days trading horizon Ningbo Tech Bank Co is expected to generate 1.82 times more return on investment than Guangzhou Zhujiang. However, Ningbo Tech is 1.82 times more volatile than Guangzhou Zhujiang Brewery. It trades about 0.17 of its potential returns per unit of risk. Guangzhou Zhujiang Brewery is currently generating about -0.18 per unit of risk. If you would invest 283.00 in Ningbo Tech Bank Co on October 24, 2024 and sell it today you would earn a total of 23.00 from holding Ningbo Tech Bank Co or generate 8.13% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Ningbo Tech Bank Co vs. Guangzhou Zhujiang Brewery
Performance |
| Timeline |
| Ningbo Tech Bank |
| Guangzhou Zhujiang |
Ningbo Tech and Guangzhou Zhujiang Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ningbo Tech and Guangzhou Zhujiang
The main advantage of trading using opposite Ningbo Tech and Guangzhou Zhujiang positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ningbo Tech position performs unexpectedly, Guangzhou Zhujiang 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 Guangzhou Zhujiang will offset losses from the drop in Guangzhou Zhujiang's long position.| Ningbo Tech vs. Gansu Huangtai Wine marketing | Ningbo Tech vs. Huasi Agricultural Development | Ningbo Tech vs. Bomesc Offshore Engineering | Ningbo Tech vs. Huatian Hotel Group |
| Guangzhou Zhujiang vs. Peoples Insurance of | Guangzhou Zhujiang vs. Ningbo Tech Bank Co | Guangzhou Zhujiang vs. Hunan Investment Group | Guangzhou Zhujiang vs. Zhejiang Construction Investment |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules |