Correlation Between Guangzhou Haozhi and Ye Chiu
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangzhou Haozhi Industrial and Ye Chiu Metal, you can compare the effects of market volatilities on Guangzhou Haozhi and Ye Chiu 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 Guangzhou Haozhi with a short position of Ye Chiu. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangzhou Haozhi and Ye Chiu.
Diversification Opportunities for Guangzhou Haozhi and Ye Chiu
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Guangzhou and 601388 is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Guangzhou Haozhi Industrial and Ye Chiu Metal in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ye Chiu Metal and Guangzhou Haozhi 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 Guangzhou Haozhi Industrial are associated (or correlated) with Ye Chiu. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ye Chiu Metal has no effect on the direction of Guangzhou Haozhi i.e., Guangzhou Haozhi and Ye Chiu go up and down completely randomly.
Pair Corralation between Guangzhou Haozhi and Ye Chiu
Assuming the 90 days trading horizon Guangzhou Haozhi Industrial is expected to generate 2.87 times more return on investment than Ye Chiu. However, Guangzhou Haozhi is 2.87 times more volatile than Ye Chiu Metal. It trades about 0.09 of its potential returns per unit of risk. Ye Chiu Metal is currently generating about 0.02 per unit of risk. If you would invest 1,696 in Guangzhou Haozhi Industrial on September 1, 2024 and sell it today you would earn a total of 148.00 from holding Guangzhou Haozhi Industrial or generate 8.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangzhou Haozhi Industrial vs. Ye Chiu Metal
Performance |
| Timeline |
| Guangzhou Haozhi Ind |
| Ye Chiu Metal |
Guangzhou Haozhi and Ye Chiu Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangzhou Haozhi and Ye Chiu
The main advantage of trading using opposite Guangzhou Haozhi and Ye Chiu positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangzhou Haozhi position performs unexpectedly, Ye Chiu 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 Ye Chiu will offset losses from the drop in Ye Chiu's long position.| Guangzhou Haozhi vs. New China Life | Guangzhou Haozhi vs. Ming Yang Smart | Guangzhou Haozhi vs. 159681 | Guangzhou Haozhi vs. 159005 |
| Ye Chiu vs. Zijin Mining Group | Ye Chiu vs. Wanhua Chemical Group | Ye Chiu vs. Baoshan Iron Steel | Ye Chiu vs. Shandong Gold Mining |
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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
Other Complementary Tools
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |