Correlation Between HUANLEJIA Food and China Petroleum
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUANLEJIA Food Group and China Petroleum Chemical, you can compare the effects of market volatilities on HUANLEJIA Food and China Petroleum 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 HUANLEJIA Food with a short position of China Petroleum. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUANLEJIA Food and China Petroleum.
Diversification Opportunities for HUANLEJIA Food and China Petroleum
-0.16 | Correlation Coefficient |
Good diversification
The 3 months correlation between HUANLEJIA and China is -0.16. Overlapping area represents the amount of risk that can be diversified away by holding HUANLEJIA Food Group and China Petroleum Chemical in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Petroleum Chemical and HUANLEJIA Food 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 HUANLEJIA Food Group are associated (or correlated) with China Petroleum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Petroleum Chemical has no effect on the direction of HUANLEJIA Food i.e., HUANLEJIA Food and China Petroleum go up and down completely randomly.
Pair Corralation between HUANLEJIA Food and China Petroleum
Assuming the 90 days trading horizon HUANLEJIA Food Group is expected to generate 9.36 times more return on investment than China Petroleum. However, HUANLEJIA Food is 9.36 times more volatile than China Petroleum Chemical. It trades about 0.17 of its potential returns per unit of risk. China Petroleum Chemical is currently generating about 0.23 per unit of risk. If you would invest 1,389 in HUANLEJIA Food Group on September 13, 2024 and sell it today you would earn a total of 355.00 from holding HUANLEJIA Food Group or generate 25.56% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
HUANLEJIA Food Group vs. China Petroleum Chemical
Performance |
| Timeline |
| HUANLEJIA Food Group |
| China Petroleum Chemical |
HUANLEJIA Food and China Petroleum Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUANLEJIA Food and China Petroleum
The main advantage of trading using opposite HUANLEJIA Food and China Petroleum positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUANLEJIA Food position performs unexpectedly, China Petroleum 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 China Petroleum will offset losses from the drop in China Petroleum's long position.| HUANLEJIA Food vs. Zhejiang JIULI Hi tech | HUANLEJIA Food vs. Shanghai Yanpu Metal | HUANLEJIA Food vs. Tongling Nonferrous Metals | HUANLEJIA Food vs. Guangdong Jingyi Metal |
| China Petroleum vs. Shanghai Metersbonwe FashionAccessories | China Petroleum vs. China Sports Industry | China Petroleum vs. Zhongshan Broad Ocean Motor | China Petroleum vs. Sichuan Fulin Transportation |
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 File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Transaction History View history of all your transactions and understand their impact on performance |