Correlation Between Uxi Unicomp and Chengdu Kanghua
Specify exactly 2 symbols:
By analyzing existing cross correlation between Uxi Unicomp Technology and Chengdu Kanghua Biological, you can compare the effects of market volatilities on Uxi Unicomp and Chengdu Kanghua 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 Uxi Unicomp with a short position of Chengdu Kanghua. Check out your portfolio center. Please also check ongoing floating volatility patterns of Uxi Unicomp and Chengdu Kanghua.
Diversification Opportunities for Uxi Unicomp and Chengdu Kanghua
0.89 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Uxi and Chengdu is 0.89. Overlapping area represents the amount of risk that can be diversified away by holding Uxi Unicomp Technology and Chengdu Kanghua Biological in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Chengdu Kanghua Biol and Uxi Unicomp 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 Uxi Unicomp Technology are associated (or correlated) with Chengdu Kanghua. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Chengdu Kanghua Biol has no effect on the direction of Uxi Unicomp i.e., Uxi Unicomp and Chengdu Kanghua go up and down completely randomly.
Pair Corralation between Uxi Unicomp and Chengdu Kanghua
Assuming the 90 days trading horizon Uxi Unicomp Technology is expected to under-perform the Chengdu Kanghua. In addition to that, Uxi Unicomp is 1.09 times more volatile than Chengdu Kanghua Biological. It trades about -0.09 of its total potential returns per unit of risk. Chengdu Kanghua Biological is currently generating about -0.07 per unit of volatility. If you would invest 6,040 in Chengdu Kanghua Biological on September 4, 2024 and sell it today you would lose (271.00) from holding Chengdu Kanghua Biological or give up 4.49% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Uxi Unicomp Technology vs. Chengdu Kanghua Biological
Performance |
| Timeline |
| Uxi Unicomp Technology |
| Chengdu Kanghua Biol |
Uxi Unicomp and Chengdu Kanghua Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Uxi Unicomp and Chengdu Kanghua
The main advantage of trading using opposite Uxi Unicomp and Chengdu Kanghua positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Uxi Unicomp position performs unexpectedly, Chengdu Kanghua 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 Chengdu Kanghua will offset losses from the drop in Chengdu Kanghua's long position.| Uxi Unicomp vs. Chengdu Kanghua Biological | Uxi Unicomp vs. Beijing Wantai Biological | Uxi Unicomp vs. Suzhou Novoprotein Scientific | Uxi Unicomp vs. Aluminum Corp of |
| Chengdu Kanghua vs. Sichuan Fulin Transportation | Chengdu Kanghua vs. Dazhong Transportation Group | Chengdu Kanghua vs. Sportsoul Co Ltd | Chengdu Kanghua vs. Sichuan Teway Food |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Other Complementary Tools
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |