Correlation Between China Satellite and Xinjiang Communications
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Satellite Communications and Xinjiang Communications Construction, you can compare the effects of market volatilities on China Satellite and Xinjiang Communications 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 Communications. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Satellite and Xinjiang Communications.
Diversification Opportunities for China Satellite and Xinjiang Communications
0.86 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between China and Xinjiang is 0.86. Overlapping area represents the amount of risk that can be diversified away by holding China Satellite Communications and Xinjiang Communications Constr in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinjiang Communications 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 Communications. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinjiang Communications has no effect on the direction of China Satellite i.e., China Satellite and Xinjiang Communications go up and down completely randomly.
Pair Corralation between China Satellite and Xinjiang Communications
Assuming the 90 days trading horizon China Satellite Communications is expected to under-perform the Xinjiang Communications. In addition to that, China Satellite is 3.25 times more volatile than Xinjiang Communications Construction. It trades about -0.04 of its total potential returns per unit of risk. Xinjiang Communications Construction is currently generating about 0.06 per unit of volatility. If you would invest 1,269 in Xinjiang Communications Construction on September 12, 2024 and sell it today you would earn a total of 23.00 from holding Xinjiang Communications Construction or generate 1.81% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Satellite Communications vs. Xinjiang Communications Constr
Performance |
| Timeline |
| China Satellite Comm |
| Xinjiang Communications |
China Satellite and Xinjiang Communications Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Satellite and Xinjiang Communications
The main advantage of trading using opposite China Satellite and Xinjiang Communications positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Satellite position performs unexpectedly, Xinjiang Communications 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 Communications will offset losses from the drop in Xinjiang Communications' long position.| China Satellite vs. Kweichow Moutai Co | China Satellite vs. Shenzhen Mindray Bio Medical | China Satellite vs. G bits Network Technology | China Satellite vs. Beijing Roborock Technology |
| Xinjiang Communications vs. Agricultural Bank of | Xinjiang Communications vs. Industrial and Commercial | Xinjiang Communications vs. Bank of China | Xinjiang Communications vs. PetroChina Co Ltd |
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
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |