Correlation Between Hubei Xingfa and Ningxia Younglight
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hubei Xingfa Chemicals and Ningxia Younglight Chemicals, you can compare the effects of market volatilities on Hubei Xingfa and Ningxia Younglight 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 Hubei Xingfa with a short position of Ningxia Younglight. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hubei Xingfa and Ningxia Younglight.
Diversification Opportunities for Hubei Xingfa and Ningxia Younglight
0.73 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Hubei and Ningxia is 0.73. Overlapping area represents the amount of risk that can be diversified away by holding Hubei Xingfa Chemicals and Ningxia Younglight Chemicals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ningxia Younglight and Hubei Xingfa 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 Hubei Xingfa Chemicals are associated (or correlated) with Ningxia Younglight. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ningxia Younglight has no effect on the direction of Hubei Xingfa i.e., Hubei Xingfa and Ningxia Younglight go up and down completely randomly.
Pair Corralation between Hubei Xingfa and Ningxia Younglight
Assuming the 90 days trading horizon Hubei Xingfa Chemicals is expected to generate 0.64 times more return on investment than Ningxia Younglight. However, Hubei Xingfa Chemicals is 1.57 times less risky than Ningxia Younglight. It trades about 0.05 of its potential returns per unit of risk. Ningxia Younglight Chemicals is currently generating about 0.0 per unit of risk. If you would invest 1,736 in Hubei Xingfa Chemicals on December 12, 2024 and sell it today you would earn a total of 484.00 from holding Hubei Xingfa Chemicals or generate 27.88% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hubei Xingfa Chemicals vs. Ningxia Younglight Chemicals
Performance |
| Timeline |
| Hubei Xingfa Chemicals |
| Ningxia Younglight |
Hubei Xingfa and Ningxia Younglight Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hubei Xingfa and Ningxia Younglight
The main advantage of trading using opposite Hubei Xingfa and Ningxia Younglight positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hubei Xingfa position performs unexpectedly, Ningxia Younglight 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 Ningxia Younglight will offset losses from the drop in Ningxia Younglight's long position.| Hubei Xingfa vs. Queclink Wireless Solutions | ||
| Hubei Xingfa vs. Yindu Kitchen Equipment | ||
| Hubei Xingfa vs. Quectel Wireless Solutions | ||
| Hubei Xingfa vs. Chahua Modern Housewares |
| Ningxia Younglight vs. CIMC Vehicles Co | ||
| Ningxia Younglight vs. BTG Hotels Group | ||
| Ningxia Younglight vs. Cicc Fund Management | ||
| Ningxia Younglight vs. Shanghai CEO Environmental |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Other Complementary Tools
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Stocks Directory Find actively traded stocks across global markets | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |