Correlation Between Contemporary Amperex and Postal Savings
Specify exactly 2 symbols:
By analyzing existing cross correlation between Contemporary Amperex Technology and Postal Savings Bank, you can compare the effects of market volatilities on Contemporary Amperex and Postal Savings 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 Contemporary Amperex with a short position of Postal Savings. Check out your portfolio center. Please also check ongoing floating volatility patterns of Contemporary Amperex and Postal Savings.
Diversification Opportunities for Contemporary Amperex and Postal Savings
0.75 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Contemporary and Postal is 0.75. Overlapping area represents the amount of risk that can be diversified away by holding Contemporary Amperex Technolog and Postal Savings Bank in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Postal Savings Bank and Contemporary Amperex 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 Contemporary Amperex Technology are associated (or correlated) with Postal Savings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Postal Savings Bank has no effect on the direction of Contemporary Amperex i.e., Contemporary Amperex and Postal Savings go up and down completely randomly.
Pair Corralation between Contemporary Amperex and Postal Savings
Assuming the 90 days trading horizon Contemporary Amperex Technology is expected to generate 2.05 times more return on investment than Postal Savings. However, Contemporary Amperex is 2.05 times more volatile than Postal Savings Bank. It trades about 0.05 of its potential returns per unit of risk. Postal Savings Bank is currently generating about 0.04 per unit of risk. If you would invest 19,235 in Contemporary Amperex Technology on September 1, 2024 and sell it today you would earn a total of 6,889 from holding Contemporary Amperex Technology or generate 35.81% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Contemporary Amperex Technolog vs. Postal Savings Bank
Performance |
| Timeline |
| Contemporary Amperex |
| Postal Savings Bank |
Contemporary Amperex and Postal Savings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Contemporary Amperex and Postal Savings
The main advantage of trading using opposite Contemporary Amperex and Postal Savings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Contemporary Amperex position performs unexpectedly, Postal Savings 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 Postal Savings will offset losses from the drop in Postal Savings' long position.| Contemporary Amperex vs. Cultural Investment Holdings | Contemporary Amperex vs. Gome Telecom Equipment | Contemporary Amperex vs. Bus Online Co | Contemporary Amperex vs. Holitech Technology Co |
| Postal Savings vs. Cultural Investment Holdings | Postal Savings vs. Bus Online Co | Postal Savings vs. Holitech Technology Co | Postal Savings vs. Zotye Automobile 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 Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |