Correlation Between Allmed Medical and Luzhou Lao
Specify exactly 2 symbols:
By analyzing existing cross correlation between Allmed Medical Products and Luzhou Lao Jiao, you can compare the effects of market volatilities on Allmed Medical and Luzhou Lao 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 Allmed Medical with a short position of Luzhou Lao. Check out your portfolio center. Please also check ongoing floating volatility patterns of Allmed Medical and Luzhou Lao.
Diversification Opportunities for Allmed Medical and Luzhou Lao
0.08 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Allmed and Luzhou is 0.08. Overlapping area represents the amount of risk that can be diversified away by holding Allmed Medical Products and Luzhou Lao Jiao in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Luzhou Lao Jiao and Allmed Medical 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 Allmed Medical Products are associated (or correlated) with Luzhou Lao. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Luzhou Lao Jiao has no effect on the direction of Allmed Medical i.e., Allmed Medical and Luzhou Lao go up and down completely randomly.
Pair Corralation between Allmed Medical and Luzhou Lao
Assuming the 90 days trading horizon Allmed Medical Products is expected to generate 1.04 times more return on investment than Luzhou Lao. However, Allmed Medical is 1.04 times more volatile than Luzhou Lao Jiao. It trades about -0.11 of its potential returns per unit of risk. Luzhou Lao Jiao is currently generating about -0.51 per unit of risk. If you would invest 912.00 in Allmed Medical Products on October 12, 2024 and sell it today you would lose (40.00) from holding Allmed Medical Products or give up 4.39% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Allmed Medical Products vs. Luzhou Lao Jiao
Performance |
| Timeline |
| Allmed Medical Products |
| Luzhou Lao Jiao |
Allmed Medical and Luzhou Lao Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Allmed Medical and Luzhou Lao
The main advantage of trading using opposite Allmed Medical and Luzhou Lao positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Allmed Medical position performs unexpectedly, Luzhou Lao 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 Luzhou Lao will offset losses from the drop in Luzhou Lao's long position.| Allmed Medical vs. Qingdao Haier Biomedical | Allmed Medical vs. Winner Medical Co | Allmed Medical vs. Zhongzhu Medical Holdings | Allmed Medical vs. AVIC Fund Management |
| Luzhou Lao vs. Allmed Medical Products | Luzhou Lao vs. MayAir Technology Co | Luzhou Lao vs. Ningbo Fujia Industrial | Luzhou Lao vs. Zhonghong Pulin Medical |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Other Complementary Tools
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |