Correlation Between China Publishing and Beijing HuaYuanYiTong
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Publishing Media and Beijing HuaYuanYiTong Thermal, you can compare the effects of market volatilities on China Publishing and Beijing HuaYuanYiTong 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 Publishing with a short position of Beijing HuaYuanYiTong. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Publishing and Beijing HuaYuanYiTong.
Diversification Opportunities for China Publishing and Beijing HuaYuanYiTong
0.87 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between China and Beijing is 0.87. Overlapping area represents the amount of risk that can be diversified away by holding China Publishing Media and Beijing HuaYuanYiTong Thermal in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Beijing HuaYuanYiTong and China Publishing 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 Publishing Media are associated (or correlated) with Beijing HuaYuanYiTong. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Beijing HuaYuanYiTong has no effect on the direction of China Publishing i.e., China Publishing and Beijing HuaYuanYiTong go up and down completely randomly.
Pair Corralation between China Publishing and Beijing HuaYuanYiTong
Assuming the 90 days trading horizon China Publishing Media is expected to generate 1.35 times more return on investment than Beijing HuaYuanYiTong. However, China Publishing is 1.35 times more volatile than Beijing HuaYuanYiTong Thermal. It trades about 0.2 of its potential returns per unit of risk. Beijing HuaYuanYiTong Thermal is currently generating about -0.01 per unit of risk. If you would invest 706.00 in China Publishing Media on August 29, 2024 and sell it today you would earn a total of 148.00 from holding China Publishing Media or generate 20.96% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Publishing Media vs. Beijing HuaYuanYiTong Thermal
Performance |
| Timeline |
| China Publishing Media |
| Beijing HuaYuanYiTong |
China Publishing and Beijing HuaYuanYiTong Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Publishing and Beijing HuaYuanYiTong
The main advantage of trading using opposite China Publishing and Beijing HuaYuanYiTong positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Publishing position performs unexpectedly, Beijing HuaYuanYiTong 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 Beijing HuaYuanYiTong will offset losses from the drop in Beijing HuaYuanYiTong's long position.| China Publishing vs. Industrial and Commercial | China Publishing vs. Agricultural Bank of | China Publishing vs. China Construction Bank | China Publishing vs. Bank of China |
| Beijing HuaYuanYiTong vs. Industrial and Commercial | Beijing HuaYuanYiTong vs. Agricultural Bank of | Beijing HuaYuanYiTong vs. China Construction Bank | Beijing HuaYuanYiTong vs. Bank of China |
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 Channel module to use Commodity Channel Index to analyze current equity momentum.
Other Complementary Tools
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |