Correlation Between Holitech Technology and SG Micro
Specify exactly 2 symbols:
By analyzing existing cross correlation between Holitech Technology Co and SG Micro Corp, you can compare the effects of market volatilities on Holitech Technology and SG Micro 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 Holitech Technology with a short position of SG Micro. Check out your portfolio center. Please also check ongoing floating volatility patterns of Holitech Technology and SG Micro.
Diversification Opportunities for Holitech Technology and SG Micro
0.38 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Holitech and 300661 is 0.38. Overlapping area represents the amount of risk that can be diversified away by holding Holitech Technology Co and SG Micro Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SG Micro Corp and Holitech Technology 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 Holitech Technology Co are associated (or correlated) with SG Micro. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SG Micro Corp has no effect on the direction of Holitech Technology i.e., Holitech Technology and SG Micro go up and down completely randomly.
Pair Corralation between Holitech Technology and SG Micro
Assuming the 90 days trading horizon Holitech Technology Co is expected to generate 1.28 times more return on investment than SG Micro. However, Holitech Technology is 1.28 times more volatile than SG Micro Corp. It trades about 0.01 of its potential returns per unit of risk. SG Micro Corp is currently generating about -0.01 per unit of risk. If you would invest 256.00 in Holitech Technology Co on September 13, 2024 and sell it today you would lose (24.00) from holding Holitech Technology Co or give up 9.38% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 99.79% |
| Values | Daily Returns |
Holitech Technology Co vs. SG Micro Corp
Performance |
| Timeline |
| Holitech Technology |
| SG Micro Corp |
Holitech Technology and SG Micro Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Holitech Technology and SG Micro
The main advantage of trading using opposite Holitech Technology and SG Micro positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Holitech Technology position performs unexpectedly, SG Micro 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 SG Micro will offset losses from the drop in SG Micro's long position.The idea behind Holitech Technology Co and SG Micro Corp pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
| SG Micro vs. Xiangyang Automobile Bearing | SG Micro vs. Tianjin Hi Tech Development | SG Micro vs. Guangdong Shenglu Telecommunication | SG Micro vs. Ningbo MedicalSystem Biotechnology |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| 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 | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |