Correlation Between Zhongtong Guomai and Niutech Environment
Specify exactly 2 symbols:
By analyzing existing cross correlation between Zhongtong Guomai Communication and Niutech Environment Technology, you can compare the effects of market volatilities on Zhongtong Guomai and Niutech Environment 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 Zhongtong Guomai with a short position of Niutech Environment. Check out your portfolio center. Please also check ongoing floating volatility patterns of Zhongtong Guomai and Niutech Environment.
Diversification Opportunities for Zhongtong Guomai and Niutech Environment
0.67 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Zhongtong and Niutech is 0.67. Overlapping area represents the amount of risk that can be diversified away by holding Zhongtong Guomai Communication and Niutech Environment Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Niutech Environment and Zhongtong Guomai 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 Zhongtong Guomai Communication are associated (or correlated) with Niutech Environment. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Niutech Environment has no effect on the direction of Zhongtong Guomai i.e., Zhongtong Guomai and Niutech Environment go up and down completely randomly.
Pair Corralation between Zhongtong Guomai and Niutech Environment
Assuming the 90 days trading horizon Zhongtong Guomai Communication is expected to generate 1.0 times more return on investment than Niutech Environment. However, Zhongtong Guomai is 1.0 times more volatile than Niutech Environment Technology. It trades about 0.06 of its potential returns per unit of risk. Niutech Environment Technology is currently generating about -0.01 per unit of risk. If you would invest 793.00 in Zhongtong Guomai Communication on September 14, 2024 and sell it today you would earn a total of 361.00 from holding Zhongtong Guomai Communication or generate 45.52% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Zhongtong Guomai Communication vs. Niutech Environment Technology
Performance |
| Timeline |
| Zhongtong Guomai Com |
| Niutech Environment |
Zhongtong Guomai and Niutech Environment Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Zhongtong Guomai and Niutech Environment
The main advantage of trading using opposite Zhongtong Guomai and Niutech Environment positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Zhongtong Guomai position performs unexpectedly, Niutech Environment 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 Niutech Environment will offset losses from the drop in Niutech Environment's long position.| Zhongtong Guomai vs. Fiberhome Telecommunication Technologies | Zhongtong Guomai vs. Kuang Chi Technologies | Zhongtong Guomai vs. Shenwu Energy Saving | Zhongtong Guomai vs. Agricultural Bank of |
| Niutech Environment vs. Changjiang Jinggong Steel | Niutech Environment vs. Anyang Iron Steel | Niutech Environment vs. Qiaoyin Environmental Tech | Niutech Environment vs. Guangdong Liantai Environmental |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |