Correlation Between Muyuan Foodstuff and Kingsignal Technology
Specify exactly 2 symbols:
By analyzing existing cross correlation between Muyuan Foodstuff Co and Kingsignal Technology Co, you can compare the effects of market volatilities on Muyuan Foodstuff and Kingsignal 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 Muyuan Foodstuff with a short position of Kingsignal Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Muyuan Foodstuff and Kingsignal Technology.
Diversification Opportunities for Muyuan Foodstuff and Kingsignal Technology
-0.06 | Correlation Coefficient |
Good diversification
The 3 months correlation between Muyuan and Kingsignal is -0.06. Overlapping area represents the amount of risk that can be diversified away by holding Muyuan Foodstuff Co and Kingsignal Technology Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kingsignal Technology and Muyuan Foodstuff 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 Muyuan Foodstuff Co are associated (or correlated) with Kingsignal Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kingsignal Technology has no effect on the direction of Muyuan Foodstuff i.e., Muyuan Foodstuff and Kingsignal Technology go up and down completely randomly.
Pair Corralation between Muyuan Foodstuff and Kingsignal Technology
Assuming the 90 days trading horizon Muyuan Foodstuff Co is expected to under-perform the Kingsignal Technology. But the stock apears to be less risky and, when comparing its historical volatility, Muyuan Foodstuff Co is 4.86 times less risky than Kingsignal Technology. The stock trades about -0.14 of its potential returns per unit of risk. The Kingsignal Technology Co is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 914.00 in Kingsignal Technology Co on October 30, 2024 and sell it today you would earn a total of 26.00 from holding Kingsignal Technology Co or generate 2.84% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Muyuan Foodstuff Co vs. Kingsignal Technology Co
Performance |
| Timeline |
| Muyuan Foodstuff |
| Kingsignal Technology |
Muyuan Foodstuff and Kingsignal Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Muyuan Foodstuff and Kingsignal Technology
The main advantage of trading using opposite Muyuan Foodstuff and Kingsignal Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Muyuan Foodstuff position performs unexpectedly, Kingsignal 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 Kingsignal Technology will offset losses from the drop in Kingsignal Technology's long position.| Muyuan Foodstuff vs. Shanghai Phichem Material | Muyuan Foodstuff vs. Ningbo Kangqiang Electronics | Muyuan Foodstuff vs. Hengerda New Materials | Muyuan Foodstuff vs. Ningbo Tip Rubber |
| Kingsignal Technology vs. Ligao Foods CoLtd | Kingsignal Technology vs. Xinjiang Tianrun Dairy | Kingsignal Technology vs. Nanya New Material | Kingsignal Technology vs. V V Food |
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 File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Other Complementary Tools
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum |