Correlation Between Shanghai Lingyun and Chison Medical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shanghai Lingyun Industries and Chison Medical Technologies, you can compare the effects of market volatilities on Shanghai Lingyun and Chison Medical 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 Shanghai Lingyun with a short position of Chison Medical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shanghai Lingyun and Chison Medical.
Diversification Opportunities for Shanghai Lingyun and Chison Medical
0.81 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Shanghai and Chison is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding Shanghai Lingyun Industries and Chison Medical Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Chison Medical Techn and Shanghai Lingyun 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 Shanghai Lingyun Industries are associated (or correlated) with Chison Medical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Chison Medical Techn has no effect on the direction of Shanghai Lingyun i.e., Shanghai Lingyun and Chison Medical go up and down completely randomly.
Pair Corralation between Shanghai Lingyun and Chison Medical
Assuming the 90 days trading horizon Shanghai Lingyun Industries is expected to generate 1.56 times more return on investment than Chison Medical. However, Shanghai Lingyun is 1.56 times more volatile than Chison Medical Technologies. It trades about 0.16 of its potential returns per unit of risk. Chison Medical Technologies is currently generating about 0.01 per unit of risk. If you would invest 17.00 in Shanghai Lingyun Industries on September 2, 2024 and sell it today you would earn a total of 22.00 from holding Shanghai Lingyun Industries or generate 129.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Shanghai Lingyun Industries vs. Chison Medical Technologies
Performance |
| Timeline |
| Shanghai Lingyun Ind |
| Chison Medical Techn |
Shanghai Lingyun and Chison Medical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shanghai Lingyun and Chison Medical
The main advantage of trading using opposite Shanghai Lingyun and Chison Medical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shanghai Lingyun position performs unexpectedly, Chison Medical 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 Chison Medical will offset losses from the drop in Chison Medical's long position.| Shanghai Lingyun vs. Agricultural Bank of | Shanghai Lingyun vs. Industrial and Commercial | Shanghai Lingyun vs. Bank of China | Shanghai Lingyun vs. PetroChina Co Ltd |
| Chison Medical vs. Nanjing Putian Telecommunications | Chison Medical vs. Shenzhen Hifuture Electric | Chison Medical vs. Tianjin Realty Development | Chison Medical vs. Shenyang Huitian Thermal |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data |