Correlation Between Ningbo Fangzheng and Xi An
Specify exactly 2 symbols:
By analyzing existing cross correlation between Ningbo Fangzheng Automobile and Xi An Triangle, you can compare the effects of market volatilities on Ningbo Fangzheng and Xi An 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 Ningbo Fangzheng with a short position of Xi An. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ningbo Fangzheng and Xi An.
Diversification Opportunities for Ningbo Fangzheng and Xi An
0.8 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Ningbo and 300775 is 0.8. Overlapping area represents the amount of risk that can be diversified away by holding Ningbo Fangzheng Automobile and Xi An Triangle in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xi An Triangle and Ningbo Fangzheng 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 Ningbo Fangzheng Automobile are associated (or correlated) with Xi An. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xi An Triangle has no effect on the direction of Ningbo Fangzheng i.e., Ningbo Fangzheng and Xi An go up and down completely randomly.
Pair Corralation between Ningbo Fangzheng and Xi An
Assuming the 90 days trading horizon Ningbo Fangzheng Automobile is expected to generate 1.14 times more return on investment than Xi An. However, Ningbo Fangzheng is 1.14 times more volatile than Xi An Triangle. It trades about 0.12 of its potential returns per unit of risk. Xi An Triangle is currently generating about -0.09 per unit of risk. If you would invest 1,500 in Ningbo Fangzheng Automobile on September 1, 2024 and sell it today you would earn a total of 123.00 from holding Ningbo Fangzheng Automobile or generate 8.2% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 95.65% |
| Values | Daily Returns |
Ningbo Fangzheng Automobile vs. Xi An Triangle
Performance |
| Timeline |
| Ningbo Fangzheng Aut |
| Xi An Triangle |
Ningbo Fangzheng and Xi An Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ningbo Fangzheng and Xi An
The main advantage of trading using opposite Ningbo Fangzheng and Xi An positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ningbo Fangzheng position performs unexpectedly, Xi An 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 Xi An will offset losses from the drop in Xi An's long position.| Ningbo Fangzheng vs. Hangzhou Prevail Optoelectronic | Ningbo Fangzheng vs. Xizi Clean Energy | Ningbo Fangzheng vs. AVIC Fund Management | Ningbo Fangzheng vs. Harvest Fund Management |
| Xi An vs. Fujian Newland Computer | Xi An vs. CSSC Offshore Marine | Xi An vs. Xiangyang Automobile Bearing | Xi An vs. Ningbo Fangzheng Automobile |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |