Correlation Between CareRay Digital and XinJiang GuoTong
Specify exactly 2 symbols:
By analyzing existing cross correlation between CareRay Digital Medical and XinJiang GuoTong Pipeline, you can compare the effects of market volatilities on CareRay Digital and XinJiang GuoTong 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 CareRay Digital with a short position of XinJiang GuoTong. Check out your portfolio center. Please also check ongoing floating volatility patterns of CareRay Digital and XinJiang GuoTong.
Diversification Opportunities for CareRay Digital and XinJiang GuoTong
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between CareRay and XinJiang is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding CareRay Digital Medical and XinJiang GuoTong Pipeline in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on XinJiang GuoTong Pipeline and CareRay Digital 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 CareRay Digital Medical are associated (or correlated) with XinJiang GuoTong. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of XinJiang GuoTong Pipeline has no effect on the direction of CareRay Digital i.e., CareRay Digital and XinJiang GuoTong go up and down completely randomly.
Pair Corralation between CareRay Digital and XinJiang GuoTong
Assuming the 90 days trading horizon CareRay Digital Medical is expected to generate 0.53 times more return on investment than XinJiang GuoTong. However, CareRay Digital Medical is 1.88 times less risky than XinJiang GuoTong. It trades about -0.35 of its potential returns per unit of risk. XinJiang GuoTong Pipeline is currently generating about -0.26 per unit of risk. If you would invest 1,576 in CareRay Digital Medical on October 16, 2024 and sell it today you would lose (281.00) from holding CareRay Digital Medical or give up 17.83% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.24% |
| Values | Daily Returns |
CareRay Digital Medical vs. XinJiang GuoTong Pipeline
Performance |
| Timeline |
| CareRay Digital Medical |
| XinJiang GuoTong Pipeline |
CareRay Digital and XinJiang GuoTong Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CareRay Digital and XinJiang GuoTong
The main advantage of trading using opposite CareRay Digital and XinJiang GuoTong positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CareRay Digital position performs unexpectedly, XinJiang GuoTong 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 XinJiang GuoTong will offset losses from the drop in XinJiang GuoTong's long position.| CareRay Digital vs. Tibet Huayu Mining | CareRay Digital vs. China Minmetals Rare | CareRay Digital vs. Ye Chiu Metal | CareRay Digital vs. Pengxin International Mining |
| XinJiang GuoTong vs. JuneYao Dairy Co | XinJiang GuoTong vs. Shanghai Ziyan Foods | XinJiang GuoTong vs. Zhengzhou Qianweiyangchu Food | XinJiang GuoTong vs. Suzhou Weizhixiang 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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
Other Complementary Tools
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges |