Correlation Between PetroChina and Anhui Jianghuai
Specify exactly 2 symbols:
By analyzing existing cross correlation between PetroChina Co Ltd and Anhui Jianghuai Automobile, you can compare the effects of market volatilities on PetroChina and Anhui Jianghuai 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 PetroChina with a short position of Anhui Jianghuai. Check out your portfolio center. Please also check ongoing floating volatility patterns of PetroChina and Anhui Jianghuai.
Diversification Opportunities for PetroChina and Anhui Jianghuai
-0.41 | Correlation Coefficient |
Very good diversification
The 3 months correlation between PetroChina and Anhui is -0.41. Overlapping area represents the amount of risk that can be diversified away by holding PetroChina Co Ltd and Anhui Jianghuai Automobile in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anhui Jianghuai Auto and PetroChina 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 PetroChina Co Ltd are associated (or correlated) with Anhui Jianghuai. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anhui Jianghuai Auto has no effect on the direction of PetroChina i.e., PetroChina and Anhui Jianghuai go up and down completely randomly.
Pair Corralation between PetroChina and Anhui Jianghuai
Assuming the 90 days trading horizon PetroChina is expected to generate 2.38 times less return on investment than Anhui Jianghuai. But when comparing it to its historical volatility, PetroChina Co Ltd is 1.75 times less risky than Anhui Jianghuai. It trades about 0.06 of its potential returns per unit of risk. Anhui Jianghuai Automobile is currently generating about 0.08 of returns per unit of risk over similar time horizon. If you would invest 1,456 in Anhui Jianghuai Automobile on August 25, 2024 and sell it today you would earn a total of 2,429 from holding Anhui Jianghuai Automobile or generate 166.83% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
PetroChina Co Ltd vs. Anhui Jianghuai Automobile
Performance |
| Timeline |
| PetroChina |
| Anhui Jianghuai Auto |
PetroChina and Anhui Jianghuai Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with PetroChina and Anhui Jianghuai
The main advantage of trading using opposite PetroChina and Anhui Jianghuai positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PetroChina position performs unexpectedly, Anhui Jianghuai 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 Anhui Jianghuai will offset losses from the drop in Anhui Jianghuai's long position.| PetroChina vs. Zhejiang Kingland Pipeline | PetroChina vs. COL Digital Publishing | PetroChina vs. Suzhou Novoprotein Scientific | PetroChina vs. Xiangyang Automobile Bearing |
| Anhui Jianghuai vs. Lutian Machinery Co | Anhui Jianghuai vs. China Longyuan Power | Anhui Jianghuai vs. Changshu Tongrun Auto | Anhui Jianghuai 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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes |