Correlation Between Chengdu Xinzhu and Jinhui Mining
Specify exactly 2 symbols:
By analyzing existing cross correlation between Chengdu Xinzhu RoadBridge and Jinhui Mining Co, you can compare the effects of market volatilities on Chengdu Xinzhu and Jinhui Mining 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 Chengdu Xinzhu with a short position of Jinhui Mining. Check out your portfolio center. Please also check ongoing floating volatility patterns of Chengdu Xinzhu and Jinhui Mining.
Diversification Opportunities for Chengdu Xinzhu and Jinhui Mining
-0.18 | Correlation Coefficient |
Good diversification
The 3 months correlation between Chengdu and Jinhui is -0.18. Overlapping area represents the amount of risk that can be diversified away by holding Chengdu Xinzhu RoadBridge and Jinhui Mining Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jinhui Mining and Chengdu Xinzhu 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 Chengdu Xinzhu RoadBridge are associated (or correlated) with Jinhui Mining. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jinhui Mining has no effect on the direction of Chengdu Xinzhu i.e., Chengdu Xinzhu and Jinhui Mining go up and down completely randomly.
Pair Corralation between Chengdu Xinzhu and Jinhui Mining
Assuming the 90 days trading horizon Chengdu Xinzhu RoadBridge is expected to generate 3.69 times more return on investment than Jinhui Mining. However, Chengdu Xinzhu is 3.69 times more volatile than Jinhui Mining Co. It trades about 0.1 of its potential returns per unit of risk. Jinhui Mining Co is currently generating about 0.13 per unit of risk. If you would invest 493.00 in Chengdu Xinzhu RoadBridge on November 3, 2024 and sell it today you would earn a total of 37.00 from holding Chengdu Xinzhu RoadBridge or generate 7.51% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Chengdu Xinzhu RoadBridge vs. Jinhui Mining Co
Performance |
| Timeline |
| Chengdu Xinzhu RoadBridge |
| Jinhui Mining |
Chengdu Xinzhu and Jinhui Mining Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Chengdu Xinzhu and Jinhui Mining
The main advantage of trading using opposite Chengdu Xinzhu and Jinhui Mining positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Chengdu Xinzhu position performs unexpectedly, Jinhui Mining 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 Jinhui Mining will offset losses from the drop in Jinhui Mining's long position.| Chengdu Xinzhu vs. Tieling Newcity Investment | Chengdu Xinzhu vs. Cultural Investment Holdings | Chengdu Xinzhu vs. Anhui Jianghuai Automobile | Chengdu Xinzhu vs. Hubei Geoway Investment |
| Jinhui Mining vs. Shenzhen Centralcon Investment | Jinhui Mining vs. Shaanxi Energy Investment | Jinhui Mining vs. Nuode Investment Co | Jinhui Mining vs. Tieling Newcity Investment |
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 Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
Other Complementary Tools
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| 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 | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |