Correlation Between Loctek Ergonomic and Guangdong Qunxing
Specify exactly 2 symbols:
By analyzing existing cross correlation between Loctek Ergonomic Technology and Guangdong Qunxing Toys, you can compare the effects of market volatilities on Loctek Ergonomic and Guangdong Qunxing 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 Loctek Ergonomic with a short position of Guangdong Qunxing. Check out your portfolio center. Please also check ongoing floating volatility patterns of Loctek Ergonomic and Guangdong Qunxing.
Diversification Opportunities for Loctek Ergonomic and Guangdong Qunxing
0.02 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Loctek and Guangdong is 0.02. Overlapping area represents the amount of risk that can be diversified away by holding Loctek Ergonomic Technology and Guangdong Qunxing Toys in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guangdong Qunxing Toys and Loctek Ergonomic 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 Loctek Ergonomic Technology are associated (or correlated) with Guangdong Qunxing. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guangdong Qunxing Toys has no effect on the direction of Loctek Ergonomic i.e., Loctek Ergonomic and Guangdong Qunxing go up and down completely randomly.
Pair Corralation between Loctek Ergonomic and Guangdong Qunxing
Assuming the 90 days trading horizon Loctek Ergonomic Technology is expected to generate 0.44 times more return on investment than Guangdong Qunxing. However, Loctek Ergonomic Technology is 2.29 times less risky than Guangdong Qunxing. It trades about -0.15 of its potential returns per unit of risk. Guangdong Qunxing Toys is currently generating about -0.08 per unit of risk. If you would invest 1,593 in Loctek Ergonomic Technology on October 28, 2024 and sell it today you would lose (100.00) from holding Loctek Ergonomic Technology or give up 6.28% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Loctek Ergonomic Technology vs. Guangdong Qunxing Toys
Performance |
| Timeline |
| Loctek Ergonomic Tec |
| Guangdong Qunxing Toys |
Loctek Ergonomic and Guangdong Qunxing Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Loctek Ergonomic and Guangdong Qunxing
The main advantage of trading using opposite Loctek Ergonomic and Guangdong Qunxing positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Loctek Ergonomic position performs unexpectedly, Guangdong Qunxing 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 Guangdong Qunxing will offset losses from the drop in Guangdong Qunxing's long position.| Loctek Ergonomic vs. Changchun UP Optotech | Loctek Ergonomic vs. Jiujiang Shanshui Technology | Loctek Ergonomic vs. Bohai Leasing Co | Loctek Ergonomic vs. Cabio Biotech Wuhan |
| Guangdong Qunxing vs. Henan Shuanghui Investment | Guangdong Qunxing vs. Giantec Semiconductor Corp | Guangdong Qunxing vs. Zoje Resources Investment | Guangdong Qunxing vs. Union Semiconductor Co |
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
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon |