Correlation Between Gome Telecom and Citic Guoan
Specify exactly 2 symbols:
By analyzing existing cross correlation between Gome Telecom Equipment and Citic Guoan Wine, you can compare the effects of market volatilities on Gome Telecom and Citic Guoan 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 Gome Telecom with a short position of Citic Guoan. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gome Telecom and Citic Guoan.
Diversification Opportunities for Gome Telecom and Citic Guoan
0.88 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Gome and Citic is 0.88. Overlapping area represents the amount of risk that can be diversified away by holding Gome Telecom Equipment and Citic Guoan Wine in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Citic Guoan Wine and Gome Telecom 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 Gome Telecom Equipment are associated (or correlated) with Citic Guoan. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Citic Guoan Wine has no effect on the direction of Gome Telecom i.e., Gome Telecom and Citic Guoan go up and down completely randomly.
Pair Corralation between Gome Telecom and Citic Guoan
If you would invest 505.00 in Citic Guoan Wine on November 29, 2024 and sell it today you would earn a total of 49.00 from holding Citic Guoan Wine or generate 9.7% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gome Telecom Equipment vs. Citic Guoan Wine
Performance |
| Timeline |
| Gome Telecom Equipment |
| Citic Guoan Wine |
Gome Telecom and Citic Guoan Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gome Telecom and Citic Guoan
The main advantage of trading using opposite Gome Telecom and Citic Guoan positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gome Telecom position performs unexpectedly, Citic Guoan 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 Citic Guoan will offset losses from the drop in Citic Guoan's long position.| Gome Telecom vs. Iat Automobile Technology | Gome Telecom vs. Keeson Technology Corp | Gome Telecom vs. COL Digital Publishing | Gome Telecom vs. Soyea Technology Co |
| Citic Guoan vs. Liaoning Chengda Biotechnology | Citic Guoan vs. Touchstone International Medical | Citic Guoan vs. Shenzhen Bioeasy Biotechnology | Citic Guoan vs. Ping An Insurance |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges |