Correlation Between Bank of XiAn and Dow Jones
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bank of XiAn and Dow Jones Industrial, you can compare the effects of market volatilities on Bank of XiAn and Dow Jones 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 Bank of XiAn with a short position of Dow Jones. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank of XiAn and Dow Jones.
Diversification Opportunities for Bank of XiAn and Dow Jones
0.46 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Bank and Dow is 0.46. Overlapping area represents the amount of risk that can be diversified away by holding Bank of XiAn and Dow Jones Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dow Jones Industrial and Bank of XiAn 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 Bank of XiAn are associated (or correlated) with Dow Jones. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dow Jones Industrial has no effect on the direction of Bank of XiAn i.e., Bank of XiAn and Dow Jones go up and down completely randomly.
Pair Corralation between Bank of XiAn and Dow Jones
Assuming the 90 days trading horizon Bank of XiAn is expected to under-perform the Dow Jones. In addition to that, Bank of XiAn is 1.87 times more volatile than Dow Jones Industrial. It trades about -0.16 of its total potential returns per unit of risk. Dow Jones Industrial is currently generating about 0.17 per unit of volatility. If you would invest 4,234,224 in Dow Jones Industrial on October 20, 2024 and sell it today you would earn a total of 114,559 from holding Dow Jones Industrial or generate 2.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Bank of XiAn vs. Dow Jones Industrial
Performance |
| Timeline |
Bank of XiAn and Dow Jones Volatility Contrast
Predicted Return Density |
| Returns |
Bank of XiAn
Pair trading matchups for Bank of XiAn
Dow Jones Industrial
Pair trading matchups for Dow Jones
Pair Trading with Bank of XiAn and Dow Jones
The main advantage of trading using opposite Bank of XiAn and Dow Jones positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank of XiAn position performs unexpectedly, Dow Jones 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 Dow Jones will offset losses from the drop in Dow Jones' long position.| Bank of XiAn vs. Kweichow Moutai Co | Bank of XiAn vs. Contemporary Amperex Technology | Bank of XiAn vs. G bits Network Technology | Bank of XiAn vs. BYD Co Ltd |
| Dow Jones vs. SkyWest | Dow Jones vs. Air Transport Services | Dow Jones vs. LATAM Airlines Group | Dow Jones vs. Emerson Radio |
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 Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
Other Complementary Tools
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |