Correlation Between Suzhou Oriental and Guangdong Xiongsu
Specify exactly 2 symbols:
By analyzing existing cross correlation between Suzhou Oriental Semiconductor and Guangdong Xiongsu Technology, you can compare the effects of market volatilities on Suzhou Oriental and Guangdong Xiongsu 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 Oriental with a short position of Guangdong Xiongsu. Check out your portfolio center. Please also check ongoing floating volatility patterns of Suzhou Oriental and Guangdong Xiongsu.
Diversification Opportunities for Suzhou Oriental and Guangdong Xiongsu
0.83 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Suzhou and Guangdong is 0.83. Overlapping area represents the amount of risk that can be diversified away by holding Suzhou Oriental Semiconductor and Guangdong Xiongsu Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guangdong Xiongsu and Suzhou Oriental 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 Oriental Semiconductor are associated (or correlated) with Guangdong Xiongsu. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guangdong Xiongsu has no effect on the direction of Suzhou Oriental i.e., Suzhou Oriental and Guangdong Xiongsu go up and down completely randomly.
Pair Corralation between Suzhou Oriental and Guangdong Xiongsu
Assuming the 90 days trading horizon Suzhou Oriental Semiconductor is expected to under-perform the Guangdong Xiongsu. But the stock apears to be less risky and, when comparing its historical volatility, Suzhou Oriental Semiconductor is 1.04 times less risky than Guangdong Xiongsu. The stock trades about -0.04 of its potential returns per unit of risk. The Guangdong Xiongsu Technology is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 794.00 in Guangdong Xiongsu Technology on October 26, 2024 and sell it today you would lose (149.00) from holding Guangdong Xiongsu Technology or give up 18.77% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Suzhou Oriental Semiconductor vs. Guangdong Xiongsu Technology
Performance |
| Timeline |
| Suzhou Oriental Semi |
| Guangdong Xiongsu |
Suzhou Oriental and Guangdong Xiongsu Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Suzhou Oriental and Guangdong Xiongsu
The main advantage of trading using opposite Suzhou Oriental and Guangdong Xiongsu positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Suzhou Oriental position performs unexpectedly, Guangdong Xiongsu 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 Guangdong Xiongsu will offset losses from the drop in Guangdong Xiongsu's long position.| Suzhou Oriental vs. Jiangsu Broadcasting Cable | Suzhou Oriental vs. Hubeiyichang Transportation Group | Suzhou Oriental vs. Shanghai Broadband Technology | Suzhou Oriental vs. Chengdu Xinzhu RoadBridge |
| Guangdong Xiongsu vs. Ming Yang Smart | Guangdong Xiongsu vs. 159681 | Guangdong Xiongsu vs. 159005 | Guangdong Xiongsu vs. Loctek Ergonomic Technology |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |