Correlation Between Zhengzhou Coal and Jiangsu Yueda
Specify exactly 2 symbols:
By analyzing existing cross correlation between Zhengzhou Coal Mining and Jiangsu Yueda Investment, you can compare the effects of market volatilities on Zhengzhou Coal and Jiangsu Yueda 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 Zhengzhou Coal with a short position of Jiangsu Yueda. Check out your portfolio center. Please also check ongoing floating volatility patterns of Zhengzhou Coal and Jiangsu Yueda.
Diversification Opportunities for Zhengzhou Coal and Jiangsu Yueda
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Zhengzhou and Jiangsu is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Zhengzhou Coal Mining and Jiangsu Yueda Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jiangsu Yueda Investment and Zhengzhou Coal 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 Zhengzhou Coal Mining are associated (or correlated) with Jiangsu Yueda. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jiangsu Yueda Investment has no effect on the direction of Zhengzhou Coal i.e., Zhengzhou Coal and Jiangsu Yueda go up and down completely randomly.
Pair Corralation between Zhengzhou Coal and Jiangsu Yueda
Assuming the 90 days trading horizon Zhengzhou Coal Mining is expected to generate 0.85 times more return on investment than Jiangsu Yueda. However, Zhengzhou Coal Mining is 1.18 times less risky than Jiangsu Yueda. It trades about 0.02 of its potential returns per unit of risk. Jiangsu Yueda Investment is currently generating about -0.01 per unit of risk. If you would invest 1,303 in Zhengzhou Coal Mining on October 22, 2024 and sell it today you would earn a total of 4.00 from holding Zhengzhou Coal Mining or generate 0.31% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.24% |
| Values | Daily Returns |
Zhengzhou Coal Mining vs. Jiangsu Yueda Investment
Performance |
| Timeline |
| Zhengzhou Coal Mining |
| Jiangsu Yueda Investment |
Zhengzhou Coal and Jiangsu Yueda Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Zhengzhou Coal and Jiangsu Yueda
The main advantage of trading using opposite Zhengzhou Coal and Jiangsu Yueda positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Zhengzhou Coal position performs unexpectedly, Jiangsu Yueda 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 Yueda will offset losses from the drop in Jiangsu Yueda's long position.| Zhengzhou Coal vs. Nuode Investment Co | Zhengzhou Coal vs. Ningxia Younglight Chemicals | Zhengzhou Coal vs. Maoming Petro Chemical Shihua | Zhengzhou Coal vs. Jilin Chemical Fibre |
| Jiangsu Yueda vs. Shanghai CEO Environmental | Jiangsu Yueda vs. Huizhou Speed Wireless | Jiangsu Yueda vs. Wuhan Yangtze Communication | Jiangsu Yueda vs. Xiangyang Automobile Bearing |
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 Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Other Complementary Tools
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |