Correlation Between GUOMAI Culture and Great Sun
Specify exactly 2 symbols:
By analyzing existing cross correlation between GUOMAI Culture Media and Great Sun Foods Co, you can compare the effects of market volatilities on GUOMAI Culture and Great Sun 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 GUOMAI Culture with a short position of Great Sun. Check out your portfolio center. Please also check ongoing floating volatility patterns of GUOMAI Culture and Great Sun.
Diversification Opportunities for GUOMAI Culture and Great Sun
0.75 | Correlation Coefficient |
Poor diversification
The 3 months correlation between GUOMAI and Great is 0.75. Overlapping area represents the amount of risk that can be diversified away by holding GUOMAI Culture Media and Great Sun Foods Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Great Sun Foods and GUOMAI Culture 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 GUOMAI Culture Media are associated (or correlated) with Great Sun. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Great Sun Foods has no effect on the direction of GUOMAI Culture i.e., GUOMAI Culture and Great Sun go up and down completely randomly.
Pair Corralation between GUOMAI Culture and Great Sun
Assuming the 90 days trading horizon GUOMAI Culture Media is expected to generate 1.4 times more return on investment than Great Sun. However, GUOMAI Culture is 1.4 times more volatile than Great Sun Foods Co. It trades about 0.04 of its potential returns per unit of risk. Great Sun Foods Co is currently generating about 0.01 per unit of risk. If you would invest 1,954 in GUOMAI Culture Media on October 28, 2024 and sell it today you would earn a total of 701.00 from holding GUOMAI Culture Media or generate 35.88% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
GUOMAI Culture Media vs. Great Sun Foods Co
Performance |
| Timeline |
| GUOMAI Culture Media |
| Great Sun Foods |
GUOMAI Culture and Great Sun Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GUOMAI Culture and Great Sun
The main advantage of trading using opposite GUOMAI Culture and Great Sun positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GUOMAI Culture position performs unexpectedly, Great Sun 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 Great Sun will offset losses from the drop in Great Sun's long position.| GUOMAI Culture vs. Longjian Road Bridge | GUOMAI Culture vs. Hainan Haiqi Transportation | GUOMAI Culture vs. Cabio Biotech Wuhan | GUOMAI Culture vs. Road Environment Technology |
| Great Sun vs. Kweichow Moutai Co | Great Sun vs. Contemporary Amperex Technology | Great Sun vs. G bits Network Technology | Great Sun vs. Beijing Roborock 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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
| 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 | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |