Correlation Between Hunan Mendale and Ziel Home
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hunan Mendale Hometextile and Ziel Home Furnishing, you can compare the effects of market volatilities on Hunan Mendale and Ziel Home 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 Hunan Mendale with a short position of Ziel Home. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hunan Mendale and Ziel Home.
Diversification Opportunities for Hunan Mendale and Ziel Home
0.2 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Hunan and Ziel is 0.2. Overlapping area represents the amount of risk that can be diversified away by holding Hunan Mendale Hometextile and Ziel Home Furnishing in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ziel Home Furnishing and Hunan Mendale 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 Hunan Mendale Hometextile are associated (or correlated) with Ziel Home. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ziel Home Furnishing has no effect on the direction of Hunan Mendale i.e., Hunan Mendale and Ziel Home go up and down completely randomly.
Pair Corralation between Hunan Mendale and Ziel Home
Assuming the 90 days trading horizon Hunan Mendale Hometextile is expected to generate 3.16 times more return on investment than Ziel Home. However, Hunan Mendale is 3.16 times more volatile than Ziel Home Furnishing. It trades about 0.06 of its potential returns per unit of risk. Ziel Home Furnishing is currently generating about -0.04 per unit of risk. If you would invest 290.00 in Hunan Mendale Hometextile on October 20, 2024 and sell it today you would earn a total of 11.00 from holding Hunan Mendale Hometextile or generate 3.79% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hunan Mendale Hometextile vs. Ziel Home Furnishing
Performance |
| Timeline |
| Hunan Mendale Hometextile |
| Ziel Home Furnishing |
Hunan Mendale and Ziel Home Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hunan Mendale and Ziel Home
The main advantage of trading using opposite Hunan Mendale and Ziel Home positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hunan Mendale position performs unexpectedly, Ziel Home 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 Ziel Home will offset losses from the drop in Ziel Home's long position.| Hunan Mendale vs. Ningxia Building Materials | Hunan Mendale vs. China Aluminum International | Hunan Mendale vs. Cangzhou Mingzhu Plastic | Hunan Mendale vs. Chongqing Shunbo Aluminum |
| Ziel Home vs. Anhui Gujing Distillery | Ziel Home vs. Everdisplay Optronics Shanghai | Ziel Home vs. Orinko Advanced Plastics | Ziel Home vs. Hainan Airlines 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 Transaction History module to view history of all your transactions and understand their impact on performance.
Other Complementary Tools
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |