Correlation Between Jiangsu Xinning and Shenyang Huitian
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jiangsu Xinning Modern and Shenyang Huitian Thermal, you can compare the effects of market volatilities on Jiangsu Xinning and Shenyang Huitian 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 Jiangsu Xinning with a short position of Shenyang Huitian. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jiangsu Xinning and Shenyang Huitian.
Diversification Opportunities for Jiangsu Xinning and Shenyang Huitian
0.95 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Jiangsu and Shenyang is 0.95. Overlapping area represents the amount of risk that can be diversified away by holding Jiangsu Xinning Modern and Shenyang Huitian Thermal in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shenyang Huitian Thermal and Jiangsu Xinning 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 Jiangsu Xinning Modern are associated (or correlated) with Shenyang Huitian. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shenyang Huitian Thermal has no effect on the direction of Jiangsu Xinning i.e., Jiangsu Xinning and Shenyang Huitian go up and down completely randomly.
Pair Corralation between Jiangsu Xinning and Shenyang Huitian
Assuming the 90 days trading horizon Jiangsu Xinning Modern is expected to generate 1.2 times more return on investment than Shenyang Huitian. However, Jiangsu Xinning is 1.2 times more volatile than Shenyang Huitian Thermal. It trades about 0.26 of its potential returns per unit of risk. Shenyang Huitian Thermal is currently generating about 0.14 per unit of risk. If you would invest 239.00 in Jiangsu Xinning Modern on August 25, 2024 and sell it today you would earn a total of 134.00 from holding Jiangsu Xinning Modern or generate 56.07% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jiangsu Xinning Modern vs. Shenyang Huitian Thermal
Performance |
| Timeline |
| Jiangsu Xinning Modern |
| Shenyang Huitian Thermal |
Jiangsu Xinning and Shenyang Huitian Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jiangsu Xinning and Shenyang Huitian
The main advantage of trading using opposite Jiangsu Xinning and Shenyang Huitian positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jiangsu Xinning position performs unexpectedly, Shenyang Huitian 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 Shenyang Huitian will offset losses from the drop in Shenyang Huitian's long position.| Jiangsu Xinning vs. Sportsoul Co Ltd | Jiangsu Xinning vs. Chengdu Spaceon Electronics | Jiangsu Xinning vs. Shandong Longquan Pipeline | Jiangsu Xinning vs. Shanghai CEO Environmental |
| Shenyang Huitian vs. Ningbo MedicalSystem Biotechnology | Shenyang Huitian vs. Huatian Hotel Group | Shenyang Huitian vs. HeNan Splendor Science | Shenyang Huitian vs. Agricultural Bank of |
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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
Other Complementary Tools
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Transaction History View history of all your transactions and understand their impact on performance |