Correlation Between Hengxin Mobile and Loctek Ergonomic
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hengxin Mobile Business and Loctek Ergonomic Technology, you can compare the effects of market volatilities on Hengxin Mobile and Loctek Ergonomic 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 Hengxin Mobile with a short position of Loctek Ergonomic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hengxin Mobile and Loctek Ergonomic.
Diversification Opportunities for Hengxin Mobile and Loctek Ergonomic
0.64 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Hengxin and Loctek is 0.64. Overlapping area represents the amount of risk that can be diversified away by holding Hengxin Mobile Business and Loctek Ergonomic Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Loctek Ergonomic Tec and Hengxin Mobile 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 Hengxin Mobile Business are associated (or correlated) with Loctek Ergonomic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Loctek Ergonomic Tec has no effect on the direction of Hengxin Mobile i.e., Hengxin Mobile and Loctek Ergonomic go up and down completely randomly.
Pair Corralation between Hengxin Mobile and Loctek Ergonomic
Assuming the 90 days trading horizon Hengxin Mobile Business is expected to generate 1.62 times more return on investment than Loctek Ergonomic. However, Hengxin Mobile is 1.62 times more volatile than Loctek Ergonomic Technology. It trades about 0.02 of its potential returns per unit of risk. Loctek Ergonomic Technology is currently generating about 0.02 per unit of risk. If you would invest 822.00 in Hengxin Mobile Business on November 2, 2024 and sell it today you would lose (118.00) from holding Hengxin Mobile Business or give up 14.36% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hengxin Mobile Business vs. Loctek Ergonomic Technology
Performance |
| Timeline |
| Hengxin Mobile Business |
| Loctek Ergonomic Tec |
Hengxin Mobile and Loctek Ergonomic Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hengxin Mobile and Loctek Ergonomic
The main advantage of trading using opposite Hengxin Mobile and Loctek Ergonomic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hengxin Mobile position performs unexpectedly, Loctek Ergonomic 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 Loctek Ergonomic will offset losses from the drop in Loctek Ergonomic's long position.| Hengxin Mobile vs. Lander Sports Development | Hengxin Mobile vs. Guangzhou Zhujiang Brewery | Hengxin Mobile vs. V V Food | Hengxin Mobile vs. Shanghai Yaoji Playing |
| Loctek Ergonomic vs. Hengli Petrochemical Co | Loctek Ergonomic vs. De Rucci Healthy | Loctek Ergonomic vs. Liuzhou Chemical Industry | Loctek Ergonomic vs. Liaoning Dingjide Petrochemical |
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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Other Complementary Tools
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |