Correlation Between Suzhou Douson and Anhui Xinhua
Specify exactly 2 symbols:
By analyzing existing cross correlation between Suzhou Douson Drilling and Anhui Xinhua Media, you can compare the effects of market volatilities on Suzhou Douson and Anhui Xinhua 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 Suzhou Douson with a short position of Anhui Xinhua. Check out your portfolio center. Please also check ongoing floating volatility patterns of Suzhou Douson and Anhui Xinhua.
Diversification Opportunities for Suzhou Douson and Anhui Xinhua
-0.12 | Correlation Coefficient |
Good diversification
The 3 months correlation between Suzhou and Anhui is -0.12. Overlapping area represents the amount of risk that can be diversified away by holding Suzhou Douson Drilling and Anhui Xinhua Media in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anhui Xinhua Media and Suzhou Douson 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 Suzhou Douson Drilling are associated (or correlated) with Anhui Xinhua. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anhui Xinhua Media has no effect on the direction of Suzhou Douson i.e., Suzhou Douson and Anhui Xinhua go up and down completely randomly.
Pair Corralation between Suzhou Douson and Anhui Xinhua
Assuming the 90 days trading horizon Suzhou Douson Drilling is expected to generate 1.8 times more return on investment than Anhui Xinhua. However, Suzhou Douson is 1.8 times more volatile than Anhui Xinhua Media. It trades about 0.0 of its potential returns per unit of risk. Anhui Xinhua Media is currently generating about -0.23 per unit of risk. If you would invest 2,506 in Suzhou Douson Drilling on October 28, 2024 and sell it today you would lose (35.00) from holding Suzhou Douson Drilling or give up 1.4% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Suzhou Douson Drilling vs. Anhui Xinhua Media
Performance |
| Timeline |
| Suzhou Douson Drilling |
| Anhui Xinhua Media |
Suzhou Douson and Anhui Xinhua Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Suzhou Douson and Anhui Xinhua
The main advantage of trading using opposite Suzhou Douson and Anhui Xinhua positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Suzhou Douson position performs unexpectedly, Anhui Xinhua 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 Anhui Xinhua will offset losses from the drop in Anhui Xinhua's long position.| Suzhou Douson vs. Zhejiang Kingland Pipeline | Suzhou Douson vs. Quectel Wireless Solutions | Suzhou Douson vs. Linkage Software Co | Suzhou Douson vs. Hainan HNA Infrastructure |
| Anhui Xinhua vs. PetroChina Co Ltd | Anhui Xinhua vs. China Mobile Limited | Anhui Xinhua vs. CNOOC Limited | Anhui Xinhua vs. Ping An Insurance |
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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |