Correlation Between Rising Nonferrous and Anhui Gujing
Specify exactly 2 symbols:
By analyzing existing cross correlation between Rising Nonferrous Metals and Anhui Gujing Distillery, you can compare the effects of market volatilities on Rising Nonferrous and Anhui Gujing 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 Rising Nonferrous with a short position of Anhui Gujing. Check out your portfolio center. Please also check ongoing floating volatility patterns of Rising Nonferrous and Anhui Gujing.
Diversification Opportunities for Rising Nonferrous and Anhui Gujing
0.89 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Rising and Anhui is 0.89. Overlapping area represents the amount of risk that can be diversified away by holding Rising Nonferrous Metals and Anhui Gujing Distillery in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anhui Gujing Distillery and Rising Nonferrous 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 Rising Nonferrous Metals are associated (or correlated) with Anhui Gujing. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anhui Gujing Distillery has no effect on the direction of Rising Nonferrous i.e., Rising Nonferrous and Anhui Gujing go up and down completely randomly.
Pair Corralation between Rising Nonferrous and Anhui Gujing
Assuming the 90 days trading horizon Rising Nonferrous Metals is expected to generate 0.77 times more return on investment than Anhui Gujing. However, Rising Nonferrous Metals is 1.29 times less risky than Anhui Gujing. It trades about 0.04 of its potential returns per unit of risk. Anhui Gujing Distillery is currently generating about -0.05 per unit of risk. If you would invest 2,735 in Rising Nonferrous Metals on September 1, 2024 and sell it today you would earn a total of 257.00 from holding Rising Nonferrous Metals or generate 9.4% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Rising Nonferrous Metals vs. Anhui Gujing Distillery
Performance |
| Timeline |
| Rising Nonferrous Metals |
| Anhui Gujing Distillery |
Rising Nonferrous and Anhui Gujing Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Rising Nonferrous and Anhui Gujing
The main advantage of trading using opposite Rising Nonferrous and Anhui Gujing positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Rising Nonferrous position performs unexpectedly, Anhui Gujing 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 Anhui Gujing will offset losses from the drop in Anhui Gujing's long position.| Rising Nonferrous vs. Zijin Mining Group | Rising Nonferrous vs. Wanhua Chemical Group | Rising Nonferrous vs. Baoshan Iron Steel | Rising Nonferrous vs. Shandong Gold Mining |
| Anhui Gujing vs. Will Semiconductor Co | Anhui Gujing vs. Zhongtong Guomai Communication | Anhui Gujing vs. Wuhan Yangtze Communication | Anhui Gujing vs. GRINM Semiconductor Materials |
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 Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios |