Correlation Between Youngy Health and Xiangtan Electrochemical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Youngy Health Co and Xiangtan Electrochemical Scientific, you can compare the effects of market volatilities on Youngy Health and Xiangtan Electrochemical 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 Youngy Health with a short position of Xiangtan Electrochemical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Youngy Health and Xiangtan Electrochemical.
Diversification Opportunities for Youngy Health and Xiangtan Electrochemical
0.7 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Youngy and Xiangtan is 0.7. Overlapping area represents the amount of risk that can be diversified away by holding Youngy Health Co and Xiangtan Electrochemical Scien in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xiangtan Electrochemical and Youngy Health 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 Youngy Health Co are associated (or correlated) with Xiangtan Electrochemical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xiangtan Electrochemical has no effect on the direction of Youngy Health i.e., Youngy Health and Xiangtan Electrochemical go up and down completely randomly.
Pair Corralation between Youngy Health and Xiangtan Electrochemical
Assuming the 90 days trading horizon Youngy Health Co is expected to generate 1.45 times more return on investment than Xiangtan Electrochemical. However, Youngy Health is 1.45 times more volatile than Xiangtan Electrochemical Scientific. It trades about 0.1 of its potential returns per unit of risk. Xiangtan Electrochemical Scientific is currently generating about 0.06 per unit of risk. If you would invest 248.00 in Youngy Health Co on November 7, 2024 and sell it today you would earn a total of 110.00 from holding Youngy Health Co or generate 44.35% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Youngy Health Co vs. Xiangtan Electrochemical Scien
Performance |
| Timeline |
| Youngy Health |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Xiangtan Electrochemical |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Youngy Health and Xiangtan Electrochemical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Youngy Health and Xiangtan Electrochemical
The main advantage of trading using opposite Youngy Health and Xiangtan Electrochemical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Youngy Health position performs unexpectedly, Xiangtan Electrochemical 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 Xiangtan Electrochemical will offset losses from the drop in Xiangtan Electrochemical's long position.The idea behind Youngy Health Co and Xiangtan Electrochemical Scientific pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities |