Correlation Between Guangzhou KingTeller and 360 Security
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By analyzing existing cross correlation between Guangzhou KingTeller Technology and 360 Security Technology, you can compare the effects of market volatilities on Guangzhou KingTeller and 360 Security 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 Guangzhou KingTeller with a short position of 360 Security. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangzhou KingTeller and 360 Security.
Diversification Opportunities for Guangzhou KingTeller and 360 Security
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Guangzhou and 360 is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding Guangzhou KingTeller Technolog and 360 Security Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on 360 Security Technology and Guangzhou KingTeller 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 Guangzhou KingTeller Technology are associated (or correlated) with 360 Security. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of 360 Security Technology has no effect on the direction of Guangzhou KingTeller i.e., Guangzhou KingTeller and 360 Security go up and down completely randomly.
Pair Corralation between Guangzhou KingTeller and 360 Security
Assuming the 90 days trading horizon Guangzhou KingTeller Technology is expected to generate 1.65 times more return on investment than 360 Security. However, Guangzhou KingTeller is 1.65 times more volatile than 360 Security Technology. It trades about -0.04 of its potential returns per unit of risk. 360 Security Technology is currently generating about -0.16 per unit of risk. If you would invest 510.00 in Guangzhou KingTeller Technology on October 24, 2024 and sell it today you would lose (27.00) from holding Guangzhou KingTeller Technology or give up 5.29% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangzhou KingTeller Technolog vs. 360 Security Technology
Performance |
| Timeline |
| Guangzhou KingTeller |
| 360 Security Technology |
Guangzhou KingTeller and 360 Security Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangzhou KingTeller and 360 Security
The main advantage of trading using opposite Guangzhou KingTeller and 360 Security positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangzhou KingTeller position performs unexpectedly, 360 Security 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 360 Security will offset losses from the drop in 360 Security's long position.| Guangzhou KingTeller vs. Panda Financial Holding | Guangzhou KingTeller vs. Southern PublishingMedia Co | Guangzhou KingTeller vs. Mango Excellent Media | Guangzhou KingTeller vs. Chengdu B ray Media |
| 360 Security vs. China Eastern Airlines | 360 Security vs. Jiangxi Hengda Hi Tech | 360 Security vs. Unisplendour Corp | 360 Security vs. Shenzhen MYS Environmental |
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 Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
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