Correlation Between Guangdong Cellwise and Yes Optoelectronics
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By analyzing existing cross correlation between Guangdong Cellwise Microelectronics and Yes Optoelectronics Co, you can compare the effects of market volatilities on Guangdong Cellwise and Yes Optoelectronics 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 Cellwise with a short position of Yes Optoelectronics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangdong Cellwise and Yes Optoelectronics.
Diversification Opportunities for Guangdong Cellwise and Yes Optoelectronics
0.49 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Guangdong and Yes is 0.49. Overlapping area represents the amount of risk that can be diversified away by holding Guangdong Cellwise Microelectr and Yes Optoelectronics Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Yes Optoelectronics and Guangdong Cellwise 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 Cellwise Microelectronics are associated (or correlated) with Yes Optoelectronics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Yes Optoelectronics has no effect on the direction of Guangdong Cellwise i.e., Guangdong Cellwise and Yes Optoelectronics go up and down completely randomly.
Pair Corralation between Guangdong Cellwise and Yes Optoelectronics
Assuming the 90 days trading horizon Guangdong Cellwise Microelectronics is expected to generate 0.65 times more return on investment than Yes Optoelectronics. However, Guangdong Cellwise Microelectronics is 1.53 times less risky than Yes Optoelectronics. It trades about -0.18 of its potential returns per unit of risk. Yes Optoelectronics Co is currently generating about -0.21 per unit of risk. If you would invest 5,200 in Guangdong Cellwise Microelectronics on October 15, 2024 and sell it today you would lose (679.00) from holding Guangdong Cellwise Microelectronics or give up 13.06% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangdong Cellwise Microelectr vs. Yes Optoelectronics Co
Performance |
| Timeline |
| Guangdong Cellwise |
| Yes Optoelectronics |
Guangdong Cellwise and Yes Optoelectronics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangdong Cellwise and Yes Optoelectronics
The main advantage of trading using opposite Guangdong Cellwise and Yes Optoelectronics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangdong Cellwise position performs unexpectedly, Yes Optoelectronics 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 Yes Optoelectronics will offset losses from the drop in Yes Optoelectronics' long position.| Guangdong Cellwise vs. Linewell Software Co | Guangdong Cellwise vs. Lotus Health Group | Guangdong Cellwise vs. Shandong Sinoglory Health | Guangdong Cellwise vs. Fujian Boss Software |
| Yes Optoelectronics vs. Sihui Fuji Electronics | Yes Optoelectronics vs. Shengda Mining Co | Yes Optoelectronics vs. Hainan Mining Co | Yes Optoelectronics vs. Integrated Electronic Systems |
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 CEOs Directory module to screen CEOs from public companies around the world.
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