Correlation Between Offshore Oil and Shanghai OPM
Specify exactly 2 symbols:
By analyzing existing cross correlation between Offshore Oil Engineering and Shanghai OPM Biosciences, you can compare the effects of market volatilities on Offshore Oil and Shanghai OPM 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 Offshore Oil with a short position of Shanghai OPM. Check out your portfolio center. Please also check ongoing floating volatility patterns of Offshore Oil and Shanghai OPM.
Diversification Opportunities for Offshore Oil and Shanghai OPM
-0.05 | Correlation Coefficient |
Good diversification
The 3 months correlation between Offshore and Shanghai is -0.05. Overlapping area represents the amount of risk that can be diversified away by holding Offshore Oil Engineering and Shanghai OPM Biosciences in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shanghai OPM Biosciences and Offshore Oil 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 Offshore Oil Engineering are associated (or correlated) with Shanghai OPM. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shanghai OPM Biosciences has no effect on the direction of Offshore Oil i.e., Offshore Oil and Shanghai OPM go up and down completely randomly.
Pair Corralation between Offshore Oil and Shanghai OPM
Assuming the 90 days trading horizon Offshore Oil Engineering is expected to generate 0.6 times more return on investment than Shanghai OPM. However, Offshore Oil Engineering is 1.66 times less risky than Shanghai OPM. It trades about -0.02 of its potential returns per unit of risk. Shanghai OPM Biosciences is currently generating about -0.02 per unit of risk. If you would invest 674.00 in Offshore Oil Engineering on November 28, 2024 and sell it today you would lose (171.00) from holding Offshore Oil Engineering or give up 25.37% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Offshore Oil Engineering vs. Shanghai OPM Biosciences
Performance |
| Timeline |
| Offshore Oil Engineering |
| Shanghai OPM Biosciences |
Offshore Oil and Shanghai OPM Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Offshore Oil and Shanghai OPM
The main advantage of trading using opposite Offshore Oil and Shanghai OPM positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Offshore Oil position performs unexpectedly, Shanghai OPM 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 Shanghai OPM will offset losses from the drop in Shanghai OPM's long position.| Offshore Oil vs. Nsfocus Information Technology | Offshore Oil vs. CSSC Offshore Marine | Offshore Oil vs. Guangzhou Ruoyuchen Information | Offshore Oil vs. Beijing Watertek Information |
| Shanghai OPM vs. Jiugui Liquor Co | Shanghai OPM vs. Beijing Bewinner Communications | Shanghai OPM vs. SSAW Hotels Resorts | Shanghai OPM vs. Queclink Wireless Solutions |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |