Correlation Between Nanxing Furniture and JCHX Mining
Specify exactly 2 symbols:
By analyzing existing cross correlation between Nanxing Furniture Machinery and JCHX Mining Management, you can compare the effects of market volatilities on Nanxing Furniture and JCHX 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 Nanxing Furniture with a short position of JCHX Mining. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nanxing Furniture and JCHX Mining.
Diversification Opportunities for Nanxing Furniture and JCHX Mining
-0.36 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Nanxing and JCHX is -0.36. Overlapping area represents the amount of risk that can be diversified away by holding Nanxing Furniture Machinery and JCHX Mining Management in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on JCHX Mining Management and Nanxing Furniture 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 Nanxing Furniture Machinery are associated (or correlated) with JCHX Mining. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of JCHX Mining Management has no effect on the direction of Nanxing Furniture i.e., Nanxing Furniture and JCHX Mining go up and down completely randomly.
Pair Corralation between Nanxing Furniture and JCHX Mining
Assuming the 90 days trading horizon Nanxing Furniture Machinery is expected to under-perform the JCHX Mining. In addition to that, Nanxing Furniture is 1.74 times more volatile than JCHX Mining Management. It trades about -0.2 of its total potential returns per unit of risk. JCHX Mining Management is currently generating about -0.06 per unit of volatility. If you would invest 4,063 in JCHX Mining Management on October 14, 2024 and sell it today you would lose (117.00) from holding JCHX Mining Management or give up 2.88% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Nanxing Furniture Machinery vs. JCHX Mining Management
Performance |
| Timeline |
| Nanxing Furniture |
| JCHX Mining Management |
Nanxing Furniture and JCHX Mining Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nanxing Furniture and JCHX Mining
The main advantage of trading using opposite Nanxing Furniture and JCHX Mining positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nanxing Furniture position performs unexpectedly, JCHX 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 JCHX Mining will offset losses from the drop in JCHX Mining's long position.| Nanxing Furniture vs. Changjiang Publishing Media | Nanxing Furniture vs. Xinhua Winshare Publishing | Nanxing Furniture vs. Beijing Kaiwen Education | Nanxing Furniture vs. BTG Hotels Group |
| JCHX Mining vs. Shandong Longquan Pipeline | JCHX Mining vs. Nanxing Furniture Machinery | JCHX Mining vs. Juneyao Airlines | JCHX Mining vs. Hunan Mendale Hometextile |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Other Complementary Tools
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios |