Correlation Between Western Mining and Zhonghong Pulin
Specify exactly 2 symbols:
By analyzing existing cross correlation between Western Mining Co and Zhonghong Pulin Medical, you can compare the effects of market volatilities on Western Mining and Zhonghong Pulin 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 Western Mining with a short position of Zhonghong Pulin. Check out your portfolio center. Please also check ongoing floating volatility patterns of Western Mining and Zhonghong Pulin.
Diversification Opportunities for Western Mining and Zhonghong Pulin
-0.14 | Correlation Coefficient |
Good diversification
The 3 months correlation between Western and Zhonghong is -0.14. Overlapping area represents the amount of risk that can be diversified away by holding Western Mining Co and Zhonghong Pulin Medical in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zhonghong Pulin Medical and Western Mining 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 Western Mining Co are associated (or correlated) with Zhonghong Pulin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zhonghong Pulin Medical has no effect on the direction of Western Mining i.e., Western Mining and Zhonghong Pulin go up and down completely randomly.
Pair Corralation between Western Mining and Zhonghong Pulin
Assuming the 90 days trading horizon Western Mining Co is expected to generate 0.74 times more return on investment than Zhonghong Pulin. However, Western Mining Co is 1.36 times less risky than Zhonghong Pulin. It trades about 0.06 of its potential returns per unit of risk. Zhonghong Pulin Medical is currently generating about 0.0 per unit of risk. If you would invest 1,014 in Western Mining Co on October 26, 2024 and sell it today you would earn a total of 734.00 from holding Western Mining Co or generate 72.39% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Western Mining Co vs. Zhonghong Pulin Medical
Performance |
| Timeline |
| Western Mining |
| Zhonghong Pulin Medical |
Western Mining and Zhonghong Pulin Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Western Mining and Zhonghong Pulin
The main advantage of trading using opposite Western Mining and Zhonghong Pulin positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Western Mining position performs unexpectedly, Zhonghong Pulin 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 Zhonghong Pulin will offset losses from the drop in Zhonghong Pulin's long position.| Western Mining vs. Southchip Semiconductor Technology | Western Mining vs. StarPower Semiconductor | Western Mining vs. Xinhua Winshare Publishing | Western Mining vs. Southern PublishingMedia Co |
| Zhonghong Pulin vs. Agricultural Bank of | Zhonghong Pulin vs. Industrial and Commercial | Zhonghong Pulin vs. Bank of China | Zhonghong Pulin vs. China Construction Bank |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years |