Correlation Between China Satellite and Xinjiang Tianshun
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Satellite Communications and Xinjiang Tianshun Supply, you can compare the effects of market volatilities on China Satellite and Xinjiang Tianshun 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 China Satellite with a short position of Xinjiang Tianshun. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Satellite and Xinjiang Tianshun.
Diversification Opportunities for China Satellite and Xinjiang Tianshun
0.55 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between China and Xinjiang is 0.55. Overlapping area represents the amount of risk that can be diversified away by holding China Satellite Communications and Xinjiang Tianshun Supply in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinjiang Tianshun Supply and China Satellite 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 China Satellite Communications are associated (or correlated) with Xinjiang Tianshun. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinjiang Tianshun Supply has no effect on the direction of China Satellite i.e., China Satellite and Xinjiang Tianshun go up and down completely randomly.
Pair Corralation between China Satellite and Xinjiang Tianshun
Assuming the 90 days trading horizon China Satellite Communications is expected to under-perform the Xinjiang Tianshun. But the stock apears to be less risky and, when comparing its historical volatility, China Satellite Communications is 1.11 times less risky than Xinjiang Tianshun. The stock trades about -0.2 of its potential returns per unit of risk. The Xinjiang Tianshun Supply is currently generating about -0.14 of returns per unit of risk over similar time horizon. If you would invest 1,089 in Xinjiang Tianshun Supply on October 25, 2024 and sell it today you would lose (86.00) from holding Xinjiang Tianshun Supply or give up 7.9% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Satellite Communications vs. Xinjiang Tianshun Supply
Performance |
| Timeline |
| China Satellite Comm |
| Xinjiang Tianshun Supply |
China Satellite and Xinjiang Tianshun Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Satellite and Xinjiang Tianshun
The main advantage of trading using opposite China Satellite and Xinjiang Tianshun positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Satellite position performs unexpectedly, Xinjiang Tianshun 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 Xinjiang Tianshun will offset losses from the drop in Xinjiang Tianshun's long position.| China Satellite vs. Industrial and Commercial | China Satellite vs. Agricultural Bank of | China Satellite vs. China Construction Bank | China Satellite vs. Bank of China |
| Xinjiang Tianshun vs. Gansu Huangtai Wine marketing | Xinjiang Tianshun vs. Hainan Airlines Co | Xinjiang Tianshun vs. Jiangsu Yanghe Brewery | Xinjiang Tianshun vs. Spring Airlines 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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| CEOs Directory Screen CEOs from public companies around the world | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal |