Correlation Between Keli Sensing and Changchun
Specify exactly 2 symbols:
By analyzing existing cross correlation between Keli Sensing Technology and Changchun UP Optotech, you can compare the effects of market volatilities on Keli Sensing and Changchun 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 Keli Sensing with a short position of Changchun. Check out your portfolio center. Please also check ongoing floating volatility patterns of Keli Sensing and Changchun.
Diversification Opportunities for Keli Sensing and Changchun
0.88 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Keli and Changchun is 0.88. Overlapping area represents the amount of risk that can be diversified away by holding Keli Sensing Technology and Changchun UP Optotech in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Changchun UP Optotech and Keli Sensing 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 Keli Sensing Technology are associated (or correlated) with Changchun. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Changchun UP Optotech has no effect on the direction of Keli Sensing i.e., Keli Sensing and Changchun go up and down completely randomly.
Pair Corralation between Keli Sensing and Changchun
Assuming the 90 days trading horizon Keli Sensing Technology is expected to generate 1.08 times more return on investment than Changchun. However, Keli Sensing is 1.08 times more volatile than Changchun UP Optotech. It trades about 0.08 of its potential returns per unit of risk. Changchun UP Optotech is currently generating about 0.05 per unit of risk. If you would invest 1,659 in Keli Sensing Technology on September 3, 2024 and sell it today you would earn a total of 3,445 from holding Keli Sensing Technology or generate 207.66% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Keli Sensing Technology vs. Changchun UP Optotech
Performance |
| Timeline |
| Keli Sensing Technology |
| Changchun UP Optotech |
Keli Sensing and Changchun Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Keli Sensing and Changchun
The main advantage of trading using opposite Keli Sensing and Changchun positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Keli Sensing position performs unexpectedly, Changchun 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 Changchun will offset losses from the drop in Changchun's long position.| Keli Sensing vs. Zhongtong Guomai Communication | Keli Sensing vs. Anhui Fuhuang Steel | Keli Sensing vs. Jonjee Hi tech Industrial | Keli Sensing vs. Dongjiang Environmental Co |
| Changchun vs. Focus Media Information | Changchun vs. Jiangsu Yanghe Brewery | Changchun vs. Guangdong Brandmax Marketing | Changchun vs. YLZ Information Tech |
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
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |