Correlation Between Loctek Ergonomic and Yili Chuanning
Specify exactly 2 symbols:
By analyzing existing cross correlation between Loctek Ergonomic Technology and Yili Chuanning Biotechnology, you can compare the effects of market volatilities on Loctek Ergonomic and Yili Chuanning 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 Yili Chuanning. Check out your portfolio center. Please also check ongoing floating volatility patterns of Loctek Ergonomic and Yili Chuanning.
Diversification Opportunities for Loctek Ergonomic and Yili Chuanning
0.56 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Loctek and Yili is 0.56. Overlapping area represents the amount of risk that can be diversified away by holding Loctek Ergonomic Technology and Yili Chuanning Biotechnology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Yili Chuanning Biote 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 Yili Chuanning. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Yili Chuanning Biote has no effect on the direction of Loctek Ergonomic i.e., Loctek Ergonomic and Yili Chuanning go up and down completely randomly.
Pair Corralation between Loctek Ergonomic and Yili Chuanning
Assuming the 90 days trading horizon Loctek Ergonomic is expected to generate 1.56 times less return on investment than Yili Chuanning. In addition to that, Loctek Ergonomic is 1.34 times more volatile than Yili Chuanning Biotechnology. It trades about 0.06 of its total potential returns per unit of risk. Yili Chuanning Biotechnology is currently generating about 0.13 per unit of volatility. If you would invest 1,164 in Yili Chuanning Biotechnology on November 3, 2024 and sell it today you would earn a total of 43.00 from holding Yili Chuanning Biotechnology or generate 3.69% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Loctek Ergonomic Technology vs. Yili Chuanning Biotechnology
Performance |
| Timeline |
| Loctek Ergonomic Tec |
| Yili Chuanning Biote |
Loctek Ergonomic and Yili Chuanning Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Loctek Ergonomic and Yili Chuanning
The main advantage of trading using opposite Loctek Ergonomic and Yili Chuanning positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Loctek Ergonomic position performs unexpectedly, Yili Chuanning 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 Yili Chuanning will offset losses from the drop in Yili Chuanning's long position.| Loctek Ergonomic vs. Youyou Foods Co | Loctek Ergonomic vs. Senci Electric Machinery | Loctek Ergonomic vs. V V Food | Loctek Ergonomic vs. Yankershop Food Co |
| Yili Chuanning vs. Kweichow Moutai Co | Yili Chuanning vs. G bits Network Technology | Yili Chuanning vs. Anhui Gujing Distillery | Yili Chuanning vs. Anhui Gujing Distillery |
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 Bonds Directory module to find actively traded corporate debentures issued by US companies.
Other Complementary Tools
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |