Correlation Between Youyou Foods and Great Sun
Specify exactly 2 symbols:
By analyzing existing cross correlation between Youyou Foods Co and Great Sun Foods Co, you can compare the effects of market volatilities on Youyou Foods and Great Sun 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 Youyou Foods with a short position of Great Sun. Check out your portfolio center. Please also check ongoing floating volatility patterns of Youyou Foods and Great Sun.
Diversification Opportunities for Youyou Foods and Great Sun
0.84 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Youyou and Great is 0.84. Overlapping area represents the amount of risk that can be diversified away by holding Youyou Foods Co and Great Sun Foods Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Great Sun Foods and Youyou Foods 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 Youyou Foods Co are associated (or correlated) with Great Sun. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Great Sun Foods has no effect on the direction of Youyou Foods i.e., Youyou Foods and Great Sun go up and down completely randomly.
Pair Corralation between Youyou Foods and Great Sun
Assuming the 90 days trading horizon Youyou Foods Co is expected to generate 1.07 times more return on investment than Great Sun. However, Youyou Foods is 1.07 times more volatile than Great Sun Foods Co. It trades about 0.18 of its potential returns per unit of risk. Great Sun Foods Co is currently generating about 0.08 per unit of risk. If you would invest 930.00 in Youyou Foods Co on September 4, 2024 and sell it today you would earn a total of 150.00 from holding Youyou Foods Co or generate 16.13% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Youyou Foods Co vs. Great Sun Foods Co
Performance |
| Timeline |
| Youyou Foods |
| Great Sun Foods |
Youyou Foods and Great Sun Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Youyou Foods and Great Sun
The main advantage of trading using opposite Youyou Foods and Great Sun positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Youyou Foods position performs unexpectedly, Great Sun 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 Great Sun will offset losses from the drop in Great Sun's long position.| Youyou Foods vs. Poly Real Estate | Youyou Foods vs. China Vanke Co | Youyou Foods vs. China Merchants Shekou | Youyou Foods vs. Huafa Industrial Co |
| Great Sun vs. Jilin Jlu Communication | Great Sun vs. State Grid InformationCommunication | Great Sun vs. Eastern Communications Co | Great Sun vs. Anhui Deli Household |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets |