Correlation Between Xizi Clean and Montage Technology
Specify exactly 2 symbols:
By analyzing existing cross correlation between Xizi Clean Energy and Montage Technology Co, you can compare the effects of market volatilities on Xizi Clean and Montage Technology 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 Xizi Clean with a short position of Montage Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xizi Clean and Montage Technology.
Diversification Opportunities for Xizi Clean and Montage Technology
0.08 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Xizi and Montage is 0.08. Overlapping area represents the amount of risk that can be diversified away by holding Xizi Clean Energy and Montage Technology Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Montage Technology and Xizi Clean 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 Xizi Clean Energy are associated (or correlated) with Montage Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Montage Technology has no effect on the direction of Xizi Clean i.e., Xizi Clean and Montage Technology go up and down completely randomly.
Pair Corralation between Xizi Clean and Montage Technology
Assuming the 90 days trading horizon Xizi Clean Energy is expected to under-perform the Montage Technology. But the stock apears to be less risky and, when comparing its historical volatility, Xizi Clean Energy is 1.16 times less risky than Montage Technology. The stock trades about -0.01 of its potential returns per unit of risk. The Montage Technology Co is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 5,683 in Montage Technology Co on October 30, 2024 and sell it today you would earn a total of 1,121 from holding Montage Technology Co or generate 19.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Xizi Clean Energy vs. Montage Technology Co
Performance |
| Timeline |
| Xizi Clean Energy |
| Montage Technology |
Xizi Clean and Montage Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xizi Clean and Montage Technology
The main advantage of trading using opposite Xizi Clean and Montage Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xizi Clean position performs unexpectedly, Montage Technology 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 Montage Technology will offset losses from the drop in Montage Technology's long position.| Xizi Clean vs. Shannon Semiconductor Technology | Xizi Clean vs. Ningbo Ligong Online | Xizi Clean vs. Zbit Semiconductor A | Xizi Clean vs. CICC Fund Management |
| Montage Technology vs. Haima Automobile Group | Montage Technology vs. Anhui Jianghuai Automobile | Montage Technology vs. Juneyao Airlines | Montage Technology vs. Hubei Xingfa Chemicals |
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 Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Other Complementary Tools
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| 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 | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |