Correlation Between Qingdao Citymedia and Xinjiang Communications
Specify exactly 2 symbols:
By analyzing existing cross correlation between Qingdao Citymedia Co and Xinjiang Communications Construction, you can compare the effects of market volatilities on Qingdao Citymedia and Xinjiang Communications 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 Qingdao Citymedia with a short position of Xinjiang Communications. Check out your portfolio center. Please also check ongoing floating volatility patterns of Qingdao Citymedia and Xinjiang Communications.
Diversification Opportunities for Qingdao Citymedia and Xinjiang Communications
0.83 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Qingdao and Xinjiang is 0.83. Overlapping area represents the amount of risk that can be diversified away by holding Qingdao Citymedia Co and Xinjiang Communications Constr in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinjiang Communications and Qingdao Citymedia 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 Qingdao Citymedia Co are associated (or correlated) with Xinjiang Communications. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinjiang Communications has no effect on the direction of Qingdao Citymedia i.e., Qingdao Citymedia and Xinjiang Communications go up and down completely randomly.
Pair Corralation between Qingdao Citymedia and Xinjiang Communications
Assuming the 90 days trading horizon Qingdao Citymedia is expected to generate 1.5 times less return on investment than Xinjiang Communications. But when comparing it to its historical volatility, Qingdao Citymedia Co is 1.47 times less risky than Xinjiang Communications. It trades about 0.15 of its potential returns per unit of risk. Xinjiang Communications Construction is currently generating about 0.15 of returns per unit of risk over similar time horizon. If you would invest 964.00 in Xinjiang Communications Construction on September 2, 2024 and sell it today you would earn a total of 316.00 from holding Xinjiang Communications Construction or generate 32.78% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Qingdao Citymedia Co vs. Xinjiang Communications Constr
Performance |
| Timeline |
| Qingdao Citymedia |
| Xinjiang Communications |
Qingdao Citymedia and Xinjiang Communications Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Qingdao Citymedia and Xinjiang Communications
The main advantage of trading using opposite Qingdao Citymedia and Xinjiang Communications positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Qingdao Citymedia position performs unexpectedly, Xinjiang Communications 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 Xinjiang Communications will offset losses from the drop in Xinjiang Communications' long position.| Qingdao Citymedia vs. Ye Chiu Metal | Qingdao Citymedia vs. State Grid InformationCommunication | Qingdao Citymedia vs. Jilin Jlu Communication | Qingdao Citymedia vs. Guangdong Advertising Co |
| Xinjiang Communications vs. Ming Yang Smart | Xinjiang Communications vs. 159681 | Xinjiang Communications vs. 159005 | Xinjiang Communications vs. Loctek Ergonomic 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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |