Correlation Between Beijing Bewinner and Huizhou Desay
Specify exactly 2 symbols:
By analyzing existing cross correlation between Beijing Bewinner Communications and Huizhou Desay SV, you can compare the effects of market volatilities on Beijing Bewinner and Huizhou Desay 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 Beijing Bewinner with a short position of Huizhou Desay. Check out your portfolio center. Please also check ongoing floating volatility patterns of Beijing Bewinner and Huizhou Desay.
Diversification Opportunities for Beijing Bewinner and Huizhou Desay
-0.12 | Correlation Coefficient |
Good diversification
The 3 months correlation between Beijing and Huizhou is -0.12. Overlapping area represents the amount of risk that can be diversified away by holding Beijing Bewinner Communication and Huizhou Desay SV in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Huizhou Desay SV and Beijing Bewinner 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 Beijing Bewinner Communications are associated (or correlated) with Huizhou Desay. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Huizhou Desay SV has no effect on the direction of Beijing Bewinner i.e., Beijing Bewinner and Huizhou Desay go up and down completely randomly.
Pair Corralation between Beijing Bewinner and Huizhou Desay
Assuming the 90 days trading horizon Beijing Bewinner Communications is expected to generate 1.02 times more return on investment than Huizhou Desay. However, Beijing Bewinner is 1.02 times more volatile than Huizhou Desay SV. It trades about 0.02 of its potential returns per unit of risk. Huizhou Desay SV is currently generating about 0.0 per unit of risk. If you would invest 590.00 in Beijing Bewinner Communications on October 16, 2024 and sell it today you would lose (3.00) from holding Beijing Bewinner Communications or give up 0.51% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Beijing Bewinner Communication vs. Huizhou Desay SV
Performance |
| Timeline |
| Beijing Bewinner Com |
| Huizhou Desay SV |
Beijing Bewinner and Huizhou Desay Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Beijing Bewinner and Huizhou Desay
The main advantage of trading using opposite Beijing Bewinner and Huizhou Desay positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Beijing Bewinner position performs unexpectedly, Huizhou Desay 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 Huizhou Desay will offset losses from the drop in Huizhou Desay's long position.| Beijing Bewinner vs. Hygon Information Technology | Beijing Bewinner vs. Emdoor Information Co | Beijing Bewinner vs. Sublime China Information | Beijing Bewinner vs. Goodwill E Health |
| Huizhou Desay vs. Beijing Bewinner Communications | Huizhou Desay vs. Inspur Software Co | Huizhou Desay vs. Glodon Software Co | Huizhou Desay vs. Guotai Epoint Software |
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 Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |