Correlation Between Yonghui Superstores and Shanghai Bailian
Specify exactly 2 symbols:
By analyzing existing cross correlation between Yonghui Superstores Co and Shanghai Bailian Group, you can compare the effects of market volatilities on Yonghui Superstores and Shanghai Bailian 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 Yonghui Superstores with a short position of Shanghai Bailian. Check out your portfolio center. Please also check ongoing floating volatility patterns of Yonghui Superstores and Shanghai Bailian.
Diversification Opportunities for Yonghui Superstores and Shanghai Bailian
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Yonghui and Shanghai is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Yonghui Superstores Co and Shanghai Bailian Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shanghai Bailian and Yonghui Superstores 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 Yonghui Superstores Co are associated (or correlated) with Shanghai Bailian. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shanghai Bailian has no effect on the direction of Yonghui Superstores i.e., Yonghui Superstores and Shanghai Bailian go up and down completely randomly.
Pair Corralation between Yonghui Superstores and Shanghai Bailian
Assuming the 90 days trading horizon Yonghui Superstores Co is expected to generate 1.71 times more return on investment than Shanghai Bailian. However, Yonghui Superstores is 1.71 times more volatile than Shanghai Bailian Group. It trades about 0.05 of its potential returns per unit of risk. Shanghai Bailian Group is currently generating about 0.05 per unit of risk. If you would invest 307.00 in Yonghui Superstores Co on August 27, 2024 and sell it today you would earn a total of 116.00 from holding Yonghui Superstores Co or generate 37.79% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Yonghui Superstores Co vs. Shanghai Bailian Group
Performance |
| Timeline |
| Yonghui Superstores |
| Shanghai Bailian |
Yonghui Superstores and Shanghai Bailian Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Yonghui Superstores and Shanghai Bailian
The main advantage of trading using opposite Yonghui Superstores and Shanghai Bailian positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Yonghui Superstores position performs unexpectedly, Shanghai Bailian 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 Shanghai Bailian will offset losses from the drop in Shanghai Bailian's long position.| Yonghui Superstores vs. Heilongjiang Publishing Media | Yonghui Superstores vs. Shenzhen Noposion Agrochemicals | Yonghui Superstores vs. Time Publishing and | Yonghui Superstores vs. Jilin Chemical Fibre |
| Shanghai Bailian vs. Nantong Jiangshan Agrochemical | Shanghai Bailian vs. Ningxia Younglight Chemicals | Shanghai Bailian vs. Time Publishing and | Shanghai Bailian vs. Juneyao Airlines |
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
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Stocks Directory Find actively traded stocks across global markets | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins |