Correlation Between Changchun and Kingnet Network
Specify exactly 2 symbols:
By analyzing existing cross correlation between Changchun UP Optotech and Kingnet Network Co, you can compare the effects of market volatilities on Changchun and Kingnet Network 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 Changchun with a short position of Kingnet Network. Check out your portfolio center. Please also check ongoing floating volatility patterns of Changchun and Kingnet Network.
Diversification Opportunities for Changchun and Kingnet Network
0.95 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Changchun and Kingnet is 0.95. Overlapping area represents the amount of risk that can be diversified away by holding Changchun UP Optotech and Kingnet Network Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kingnet Network and Changchun 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 Changchun UP Optotech are associated (or correlated) with Kingnet Network. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kingnet Network has no effect on the direction of Changchun i.e., Changchun and Kingnet Network go up and down completely randomly.
Pair Corralation between Changchun and Kingnet Network
Assuming the 90 days trading horizon Changchun UP Optotech is expected to generate 1.16 times more return on investment than Kingnet Network. However, Changchun is 1.16 times more volatile than Kingnet Network Co. It trades about 0.05 of its potential returns per unit of risk. Kingnet Network Co is currently generating about 0.03 per unit of risk. If you would invest 3,485 in Changchun UP Optotech on September 4, 2024 and sell it today you would earn a total of 1,047 from holding Changchun UP Optotech or generate 30.04% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Changchun UP Optotech vs. Kingnet Network Co
Performance |
| Timeline |
| Changchun UP Optotech |
| Kingnet Network |
Changchun and Kingnet Network Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Changchun and Kingnet Network
The main advantage of trading using opposite Changchun and Kingnet Network positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Changchun position performs unexpectedly, Kingnet Network 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 Kingnet Network will offset losses from the drop in Kingnet Network's long position.| Changchun vs. Kweichow Moutai Co | Changchun vs. NAURA Technology Group | Changchun vs. APT Medical | Changchun vs. BYD Co Ltd |
| Kingnet Network vs. Tianshui Huatian Technology | Kingnet Network vs. Anhui Liuguo Chemical | Kingnet Network vs. Jinhe Biotechnology Co | Kingnet Network vs. Changchun UP Optotech |
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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities |