Correlation Between Bloomage Biotechnology and Changchun BCHT
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By analyzing existing cross correlation between Bloomage Biotechnology Corp and Changchun BCHT Biotechnology, you can compare the effects of market volatilities on Bloomage Biotechnology and Changchun BCHT 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 Bloomage Biotechnology with a short position of Changchun BCHT. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bloomage Biotechnology and Changchun BCHT.
Diversification Opportunities for Bloomage Biotechnology and Changchun BCHT
0.97 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Bloomage and Changchun is 0.97. Overlapping area represents the amount of risk that can be diversified away by holding Bloomage Biotechnology Corp and Changchun BCHT Biotechnology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Changchun BCHT Biote and Bloomage Biotechnology 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 Bloomage Biotechnology Corp are associated (or correlated) with Changchun BCHT. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Changchun BCHT Biote has no effect on the direction of Bloomage Biotechnology i.e., Bloomage Biotechnology and Changchun BCHT go up and down completely randomly.
Pair Corralation between Bloomage Biotechnology and Changchun BCHT
Assuming the 90 days trading horizon Bloomage Biotechnology Corp is expected to generate 0.93 times more return on investment than Changchun BCHT. However, Bloomage Biotechnology Corp is 1.07 times less risky than Changchun BCHT. It trades about -0.05 of its potential returns per unit of risk. Changchun BCHT Biotechnology is currently generating about -0.06 per unit of risk. If you would invest 12,456 in Bloomage Biotechnology Corp on September 3, 2024 and sell it today you would lose (6,540) from holding Bloomage Biotechnology Corp or give up 52.5% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bloomage Biotechnology Corp vs. Changchun BCHT Biotechnology
Performance |
| Timeline |
| Bloomage Biotechnology |
| Changchun BCHT Biote |
Bloomage Biotechnology and Changchun BCHT Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bloomage Biotechnology and Changchun BCHT
The main advantage of trading using opposite Bloomage Biotechnology and Changchun BCHT positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bloomage Biotechnology position performs unexpectedly, Changchun BCHT 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 Changchun BCHT will offset losses from the drop in Changchun BCHT's long position.| Bloomage Biotechnology vs. Kangping Technology Co | Bloomage Biotechnology vs. HanS Laser Tech | Bloomage Biotechnology vs. Niutech Environment Technology | Bloomage Biotechnology vs. Keli Sensing Technology |
| Changchun BCHT vs. Chengdu Kanghua Biological | Changchun BCHT vs. Beijing Wantai Biological | Changchun BCHT vs. Suzhou Novoprotein Scientific | Changchun BCHT vs. Aluminum Corp of |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
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