Correlation Between Contemporary Amperex and Hangzhou Pinming
Specify exactly 2 symbols:
By analyzing existing cross correlation between Contemporary Amperex Technology and Hangzhou Pinming Software, you can compare the effects of market volatilities on Contemporary Amperex and Hangzhou Pinming 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 Hangzhou Pinming. Check out your portfolio center. Please also check ongoing floating volatility patterns of Contemporary Amperex and Hangzhou Pinming.
Diversification Opportunities for Contemporary Amperex and Hangzhou Pinming
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Contemporary and Hangzhou is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding Contemporary Amperex Technolog and Hangzhou Pinming Software in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hangzhou Pinming Software 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 Hangzhou Pinming. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hangzhou Pinming Software has no effect on the direction of Contemporary Amperex i.e., Contemporary Amperex and Hangzhou Pinming go up and down completely randomly.
Pair Corralation between Contemporary Amperex and Hangzhou Pinming
Assuming the 90 days trading horizon Contemporary Amperex Technology is expected to generate 0.75 times more return on investment than Hangzhou Pinming. However, Contemporary Amperex Technology is 1.33 times less risky than Hangzhou Pinming. It trades about 0.08 of its potential returns per unit of risk. Hangzhou Pinming Software is currently generating about 0.02 per unit of risk. If you would invest 16,054 in Contemporary Amperex Technology on September 2, 2024 and sell it today you would earn a total of 10,070 from holding Contemporary Amperex Technology or generate 62.73% 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. Hangzhou Pinming Software
Performance |
| Timeline |
| Contemporary Amperex |
| Hangzhou Pinming Software |
Contemporary Amperex and Hangzhou Pinming Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Contemporary Amperex and Hangzhou Pinming
The main advantage of trading using opposite Contemporary Amperex and Hangzhou Pinming positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Contemporary Amperex position performs unexpectedly, Hangzhou Pinming 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 Hangzhou Pinming will offset losses from the drop in Hangzhou Pinming's long position.| Contemporary Amperex vs. Sunwave Communications Co | Contemporary Amperex vs. Yunnan Jianzhijia Health Chain | Contemporary Amperex vs. Fujian Newland Computer | Contemporary Amperex vs. Anhui Huaren Health |
| Hangzhou Pinming vs. Ming Yang Smart | Hangzhou Pinming vs. 159681 | Hangzhou Pinming vs. 159005 | Hangzhou Pinming vs. Loctek Ergonomic Technology |
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 Global Correlations module to find global opportunities by holding instruments from different markets.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Equity Valuation Check real value of public entities based on technical and fundamental data |