Correlation Between Sinomach Automobile and Guangzhou Shangpin
Specify exactly 2 symbols:
By analyzing existing cross correlation between Sinomach Automobile Co and Guangzhou Shangpin Home, you can compare the effects of market volatilities on Sinomach Automobile and Guangzhou Shangpin 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 Sinomach Automobile with a short position of Guangzhou Shangpin. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sinomach Automobile and Guangzhou Shangpin.
Diversification Opportunities for Sinomach Automobile and Guangzhou Shangpin
0.95 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Sinomach and Guangzhou is 0.95. Overlapping area represents the amount of risk that can be diversified away by holding Sinomach Automobile Co and Guangzhou Shangpin Home in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guangzhou Shangpin Home and Sinomach Automobile 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 Sinomach Automobile Co are associated (or correlated) with Guangzhou Shangpin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guangzhou Shangpin Home has no effect on the direction of Sinomach Automobile i.e., Sinomach Automobile and Guangzhou Shangpin go up and down completely randomly.
Pair Corralation between Sinomach Automobile and Guangzhou Shangpin
Assuming the 90 days trading horizon Sinomach Automobile Co is expected to generate 0.93 times more return on investment than Guangzhou Shangpin. However, Sinomach Automobile Co is 1.07 times less risky than Guangzhou Shangpin. It trades about 0.0 of its potential returns per unit of risk. Guangzhou Shangpin Home is currently generating about 0.0 per unit of risk. If you would invest 827.00 in Sinomach Automobile Co on September 4, 2024 and sell it today you would lose (147.00) from holding Sinomach Automobile Co or give up 17.78% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Sinomach Automobile Co vs. Guangzhou Shangpin Home
Performance |
| Timeline |
| Sinomach Automobile |
| Guangzhou Shangpin Home |
Sinomach Automobile and Guangzhou Shangpin Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sinomach Automobile and Guangzhou Shangpin
The main advantage of trading using opposite Sinomach Automobile and Guangzhou Shangpin positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sinomach Automobile position performs unexpectedly, Guangzhou Shangpin 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 Guangzhou Shangpin will offset losses from the drop in Guangzhou Shangpin's long position.| Sinomach Automobile vs. Guangdong Jingyi Metal | Sinomach Automobile vs. Gem Year Industrial Co | Sinomach Automobile vs. Ye Chiu Metal | Sinomach Automobile vs. Shenyang Huitian Thermal |
| Guangzhou Shangpin vs. Industrial and Commercial | Guangzhou Shangpin vs. Agricultural Bank of | Guangzhou Shangpin vs. China Construction Bank | Guangzhou Shangpin vs. Bank of China |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine |