Correlation Between Aluminum Corp and Jiangsu Yanghe
Specify exactly 2 symbols:
By analyzing existing cross correlation between Aluminum Corp of and Jiangsu Yanghe Brewery, you can compare the effects of market volatilities on Aluminum Corp and Jiangsu Yanghe 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 Aluminum Corp with a short position of Jiangsu Yanghe. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aluminum Corp and Jiangsu Yanghe.
Diversification Opportunities for Aluminum Corp and Jiangsu Yanghe
0.45 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Aluminum and Jiangsu is 0.45. Overlapping area represents the amount of risk that can be diversified away by holding Aluminum Corp of and Jiangsu Yanghe Brewery in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jiangsu Yanghe Brewery and Aluminum Corp 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 Aluminum Corp of are associated (or correlated) with Jiangsu Yanghe. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jiangsu Yanghe Brewery has no effect on the direction of Aluminum Corp i.e., Aluminum Corp and Jiangsu Yanghe go up and down completely randomly.
Pair Corralation between Aluminum Corp and Jiangsu Yanghe
Assuming the 90 days trading horizon Aluminum Corp of is expected to generate 1.17 times more return on investment than Jiangsu Yanghe. However, Aluminum Corp is 1.17 times more volatile than Jiangsu Yanghe Brewery. It trades about -0.05 of its potential returns per unit of risk. Jiangsu Yanghe Brewery is currently generating about -0.09 per unit of risk. If you would invest 824.00 in Aluminum Corp of on November 6, 2024 and sell it today you would lose (48.00) from holding Aluminum Corp of or give up 5.83% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Aluminum Corp of vs. Jiangsu Yanghe Brewery
Performance |
| Timeline |
| Aluminum Corp |
| Jiangsu Yanghe Brewery |
Aluminum Corp and Jiangsu Yanghe Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aluminum Corp and Jiangsu Yanghe
The main advantage of trading using opposite Aluminum Corp and Jiangsu Yanghe positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aluminum Corp position performs unexpectedly, Jiangsu Yanghe 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 Jiangsu Yanghe will offset losses from the drop in Jiangsu Yanghe's long position.| Aluminum Corp vs. Zijin Mining Group | Aluminum Corp vs. Wanhua Chemical Group | Aluminum Corp vs. Baoshan Iron Steel | Aluminum Corp vs. Shandong Gold Mining |
| Jiangsu Yanghe vs. Guangdong Ellington Electronics | Jiangsu Yanghe vs. Weihai Honglin Electronic | Jiangsu Yanghe vs. Beijing YanDong MicroElectronic | Jiangsu Yanghe vs. Xinya Electronic Co |
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 Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Equity Valuation Check real value of public entities based on technical and fundamental data |