Correlation Between Zhejiang JIULI and Jointo Energy
Specify exactly 2 symbols:
By analyzing existing cross correlation between Zhejiang JIULI Hi tech and Jointo Energy Investment, you can compare the effects of market volatilities on Zhejiang JIULI and Jointo Energy 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 Zhejiang JIULI with a short position of Jointo Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Zhejiang JIULI and Jointo Energy.
Diversification Opportunities for Zhejiang JIULI and Jointo Energy
0.73 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Zhejiang and Jointo is 0.73. Overlapping area represents the amount of risk that can be diversified away by holding Zhejiang JIULI Hi tech and Jointo Energy Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jointo Energy Investment and Zhejiang JIULI 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 Zhejiang JIULI Hi tech are associated (or correlated) with Jointo Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jointo Energy Investment has no effect on the direction of Zhejiang JIULI i.e., Zhejiang JIULI and Jointo Energy go up and down completely randomly.
Pair Corralation between Zhejiang JIULI and Jointo Energy
Assuming the 90 days trading horizon Zhejiang JIULI Hi tech is expected to generate 0.9 times more return on investment than Jointo Energy. However, Zhejiang JIULI Hi tech is 1.11 times less risky than Jointo Energy. It trades about 0.01 of its potential returns per unit of risk. Jointo Energy Investment is currently generating about -0.01 per unit of risk. If you would invest 2,333 in Zhejiang JIULI Hi tech on September 26, 2024 and sell it today you would earn a total of 17.00 from holding Zhejiang JIULI Hi tech or generate 0.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Zhejiang JIULI Hi tech vs. Jointo Energy Investment
Performance |
| Timeline |
| Zhejiang JIULI Hi |
| Jointo Energy Investment |
Zhejiang JIULI and Jointo Energy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Zhejiang JIULI and Jointo Energy
The main advantage of trading using opposite Zhejiang JIULI and Jointo Energy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Zhejiang JIULI position performs unexpectedly, Jointo Energy 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 Jointo Energy will offset losses from the drop in Jointo Energy's long position.| Zhejiang JIULI vs. Wanhua Chemical Group | Zhejiang JIULI vs. Shandong Gold Mining | Zhejiang JIULI vs. Rongsheng Petrochemical Co | Zhejiang JIULI vs. Inner Mongolia BaoTou |
| Jointo Energy vs. Tianjin Ruixin Technology | Jointo Energy vs. Jiujiang Shanshui Technology | Jointo Energy vs. Shanghai Rongtai Health | Jointo Energy vs. Xizi Clean Energy |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |