Correlation Between Cofoe Medical and China Molybdenum
Specify exactly 2 symbols:
By analyzing existing cross correlation between Cofoe Medical Technology and China Molybdenum Co, you can compare the effects of market volatilities on Cofoe Medical and China Molybdenum 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 Cofoe Medical with a short position of China Molybdenum. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cofoe Medical and China Molybdenum.
Diversification Opportunities for Cofoe Medical and China Molybdenum
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Cofoe and China is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding Cofoe Medical Technology and China Molybdenum Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Molybdenum and Cofoe Medical 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 Cofoe Medical Technology are associated (or correlated) with China Molybdenum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Molybdenum has no effect on the direction of Cofoe Medical i.e., Cofoe Medical and China Molybdenum go up and down completely randomly.
Pair Corralation between Cofoe Medical and China Molybdenum
Assuming the 90 days trading horizon Cofoe Medical is expected to generate 7.43 times less return on investment than China Molybdenum. In addition to that, Cofoe Medical is 1.1 times more volatile than China Molybdenum Co. It trades about 0.01 of its total potential returns per unit of risk. China Molybdenum Co is currently generating about 0.05 per unit of volatility. If you would invest 487.00 in China Molybdenum Co on September 3, 2024 and sell it today you would earn a total of 241.00 from holding China Molybdenum Co or generate 49.49% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Cofoe Medical Technology vs. China Molybdenum Co
Performance |
| Timeline |
| Cofoe Medical Technology |
| China Molybdenum |
Cofoe Medical and China Molybdenum Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cofoe Medical and China Molybdenum
The main advantage of trading using opposite Cofoe Medical and China Molybdenum positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cofoe Medical position performs unexpectedly, China Molybdenum 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 Molybdenum will offset losses from the drop in China Molybdenum's long position.| Cofoe Medical vs. Chengdu Kanghua Biological | Cofoe Medical vs. Beijing Wantai Biological | Cofoe Medical vs. Suzhou Novoprotein Scientific | Cofoe Medical vs. Aluminum Corp of |
| China Molybdenum vs. Heilongjiang Transport Development | China Molybdenum vs. Zhejiang Yayi Metal | China Molybdenum vs. Keda Clean Energy | China Molybdenum vs. Kingclean Electric 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 AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |