Correlation Between CareRay Digital and Nanjing Medlander
Specify exactly 2 symbols:
By analyzing existing cross correlation between CareRay Digital Medical and Nanjing Medlander Medical, you can compare the effects of market volatilities on CareRay Digital and Nanjing Medlander 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 Nanjing Medlander. Check out your portfolio center. Please also check ongoing floating volatility patterns of CareRay Digital and Nanjing Medlander.
Diversification Opportunities for CareRay Digital and Nanjing Medlander
0.93 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between CareRay and Nanjing is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding CareRay Digital Medical and Nanjing Medlander Medical in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nanjing Medlander Medical 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 Nanjing Medlander. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nanjing Medlander Medical has no effect on the direction of CareRay Digital i.e., CareRay Digital and Nanjing Medlander go up and down completely randomly.
Pair Corralation between CareRay Digital and Nanjing Medlander
Assuming the 90 days trading horizon CareRay Digital Medical is expected to generate 1.18 times more return on investment than Nanjing Medlander. However, CareRay Digital is 1.18 times more volatile than Nanjing Medlander Medical. It trades about 0.02 of its potential returns per unit of risk. Nanjing Medlander Medical is currently generating about -0.04 per unit of risk. If you would invest 1,588 in CareRay Digital Medical on September 13, 2024 and sell it today you would earn a total of 4.00 from holding CareRay Digital Medical or generate 0.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
CareRay Digital Medical vs. Nanjing Medlander Medical
Performance |
| Timeline |
| CareRay Digital Medical |
| Nanjing Medlander Medical |
CareRay Digital and Nanjing Medlander Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CareRay Digital and Nanjing Medlander
The main advantage of trading using opposite CareRay Digital and Nanjing Medlander positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CareRay Digital position performs unexpectedly, Nanjing Medlander 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 Nanjing Medlander will offset losses from the drop in Nanjing Medlander's long position.| CareRay Digital vs. Industrial and Commercial | CareRay Digital vs. Kweichow Moutai Co | CareRay Digital vs. Agricultural Bank of | CareRay Digital vs. China Mobile Limited |
| Nanjing Medlander vs. Industrial and Commercial | Nanjing Medlander vs. Kweichow Moutai Co | Nanjing Medlander vs. Agricultural Bank of | Nanjing Medlander vs. China Mobile Limited |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios |