Correlation Between Chahua Modern and Jonjee Hi
Specify exactly 2 symbols:
By analyzing existing cross correlation between Chahua Modern Housewares and Jonjee Hi tech Industrial, you can compare the effects of market volatilities on Chahua Modern and Jonjee Hi 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 Chahua Modern with a short position of Jonjee Hi. Check out your portfolio center. Please also check ongoing floating volatility patterns of Chahua Modern and Jonjee Hi.
Diversification Opportunities for Chahua Modern and Jonjee Hi
0.84 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Chahua and Jonjee is 0.84. Overlapping area represents the amount of risk that can be diversified away by holding Chahua Modern Housewares and Jonjee Hi tech Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jonjee Hi tech and Chahua Modern 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 Chahua Modern Housewares are associated (or correlated) with Jonjee Hi. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jonjee Hi tech has no effect on the direction of Chahua Modern i.e., Chahua Modern and Jonjee Hi go up and down completely randomly.
Pair Corralation between Chahua Modern and Jonjee Hi
Assuming the 90 days trading horizon Chahua Modern Housewares is expected to generate 1.46 times more return on investment than Jonjee Hi. However, Chahua Modern is 1.46 times more volatile than Jonjee Hi tech Industrial. It trades about 0.08 of its potential returns per unit of risk. Jonjee Hi tech Industrial is currently generating about -0.04 per unit of risk. If you would invest 840.00 in Chahua Modern Housewares on September 3, 2024 and sell it today you would earn a total of 1,347 from holding Chahua Modern Housewares or generate 160.36% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Chahua Modern Housewares vs. Jonjee Hi tech Industrial
Performance |
| Timeline |
| Chahua Modern Housewares |
| Jonjee Hi tech |
Chahua Modern and Jonjee Hi Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Chahua Modern and Jonjee Hi
The main advantage of trading using opposite Chahua Modern and Jonjee Hi positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Chahua Modern position performs unexpectedly, Jonjee Hi 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 Jonjee Hi will offset losses from the drop in Jonjee Hi's long position.| Chahua Modern vs. PetroChina Co Ltd | Chahua Modern vs. China Mobile Limited | Chahua Modern vs. Industrial and Commercial | Chahua Modern vs. China Life Insurance |
| Jonjee Hi vs. Beijing Wantai Biological | Jonjee Hi vs. Aluminum Corp of | Jonjee Hi vs. COL Digital Publishing | Jonjee Hi vs. Shaanxi Meineng Clean |
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 Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |