Correlation Between Guangdong Marubi and Zhende Medical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangdong Marubi Biotechnology and Zhende Medical Co, you can compare the effects of market volatilities on Guangdong Marubi and Zhende Medical 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 Guangdong Marubi with a short position of Zhende Medical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangdong Marubi and Zhende Medical.
Diversification Opportunities for Guangdong Marubi and Zhende Medical
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Guangdong and Zhende is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Guangdong Marubi Biotechnology and Zhende Medical Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zhende Medical and Guangdong Marubi 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 Guangdong Marubi Biotechnology are associated (or correlated) with Zhende Medical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zhende Medical has no effect on the direction of Guangdong Marubi i.e., Guangdong Marubi and Zhende Medical go up and down completely randomly.
Pair Corralation between Guangdong Marubi and Zhende Medical
Assuming the 90 days trading horizon Guangdong Marubi Biotechnology is expected to under-perform the Zhende Medical. In addition to that, Guangdong Marubi is 1.46 times more volatile than Zhende Medical Co. It trades about -0.21 of its total potential returns per unit of risk. Zhende Medical Co is currently generating about -0.05 per unit of volatility. If you would invest 2,327 in Zhende Medical Co on August 29, 2024 and sell it today you would lose (45.00) from holding Zhende Medical Co or give up 1.93% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangdong Marubi Biotechnology vs. Zhende Medical Co
Performance |
| Timeline |
| Guangdong Marubi Bio |
| Zhende Medical |
Guangdong Marubi and Zhende Medical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangdong Marubi and Zhende Medical
The main advantage of trading using opposite Guangdong Marubi and Zhende Medical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangdong Marubi position performs unexpectedly, Zhende Medical 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 Zhende Medical will offset losses from the drop in Zhende Medical's long position.| Guangdong Marubi vs. Longjian Road Bridge | Guangdong Marubi vs. Dazhong Transportation Group | Guangdong Marubi vs. Heilongjiang Publishing Media | Guangdong Marubi vs. Guizhou BroadcastingTV Info |
| Zhende Medical vs. Bank of China | Zhende Medical vs. Kweichow Moutai Co | Zhende Medical vs. PetroChina Co Ltd | Zhende Medical vs. Bank of Communications |
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 Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
Other Complementary Tools
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |