Correlation Between Shenzhen MYS and Youyou Foods
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shenzhen MYS Environmental and Youyou Foods Co, you can compare the effects of market volatilities on Shenzhen MYS and Youyou Foods 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 Shenzhen MYS with a short position of Youyou Foods. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shenzhen MYS and Youyou Foods.
Diversification Opportunities for Shenzhen MYS and Youyou Foods
0.86 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Shenzhen and Youyou is 0.86. Overlapping area represents the amount of risk that can be diversified away by holding Shenzhen MYS Environmental and Youyou Foods Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Youyou Foods and Shenzhen MYS 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 Shenzhen MYS Environmental are associated (or correlated) with Youyou Foods. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Youyou Foods has no effect on the direction of Shenzhen MYS i.e., Shenzhen MYS and Youyou Foods go up and down completely randomly.
Pair Corralation between Shenzhen MYS and Youyou Foods
Assuming the 90 days trading horizon Shenzhen MYS Environmental is expected to generate 0.92 times more return on investment than Youyou Foods. However, Shenzhen MYS Environmental is 1.08 times less risky than Youyou Foods. It trades about 0.18 of its potential returns per unit of risk. Youyou Foods Co is currently generating about 0.14 per unit of risk. If you would invest 322.00 in Shenzhen MYS Environmental on September 6, 2024 and sell it today you would earn a total of 51.00 from holding Shenzhen MYS Environmental or generate 15.84% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Shenzhen MYS Environmental vs. Youyou Foods Co
Performance |
Timeline |
Shenzhen MYS Environ |
Youyou Foods |
Shenzhen MYS and Youyou Foods Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Shenzhen MYS and Youyou Foods
The main advantage of trading using opposite Shenzhen MYS and Youyou Foods positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shenzhen MYS position performs unexpectedly, Youyou Foods 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 Youyou Foods will offset losses from the drop in Youyou Foods' long position.Shenzhen MYS vs. Rising Nonferrous Metals | Shenzhen MYS vs. Western Metal Materials | Shenzhen MYS vs. HeNan Splendor Science | Shenzhen MYS vs. Ye Chiu Metal |
Youyou Foods vs. Poly Real Estate | Youyou Foods vs. China Vanke Co | Youyou Foods vs. China Merchants Shekou | Youyou Foods vs. Huafa Industrial Co |
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 Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Other Complementary Tools
Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency |