Correlation Between JD SPORTS and DAX Index
Specify exactly 2 symbols:
By analyzing existing cross correlation between JD SPORTS FASH and DAX Index, you can compare the effects of market volatilities on JD SPORTS and DAX Index 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 JD SPORTS with a short position of DAX Index. Check out your portfolio center. Please also check ongoing floating volatility patterns of JD SPORTS and DAX Index.
Diversification Opportunities for JD SPORTS and DAX Index
Excellent diversification
The 3 months correlation between 9JD and DAX is -0.61. Overlapping area represents the amount of risk that can be diversified away by holding JD SPORTS FASH and DAX Index in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on DAX Index and JD SPORTS 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 JD SPORTS FASH are associated (or correlated) with DAX Index. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of DAX Index has no effect on the direction of JD SPORTS i.e., JD SPORTS and DAX Index go up and down completely randomly.
Pair Corralation between JD SPORTS and DAX Index
Assuming the 90 days horizon JD SPORTS FASH is expected to under-perform the DAX Index. In addition to that, JD SPORTS is 7.05 times more volatile than DAX Index. It trades about -0.13 of its total potential returns per unit of risk. DAX Index is currently generating about 0.48 per unit of volatility. If you would invest 1,921,081 in DAX Index on September 16, 2024 and sell it today you would earn a total of 119,511 from holding DAX Index or generate 6.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
JD SPORTS FASH vs. DAX Index
Performance |
| Timeline |
JD SPORTS and DAX Index Volatility Contrast
Predicted Return Density |
| Returns |
JD SPORTS FASH
Pair trading matchups for JD SPORTS
DAX Index
Pair trading matchups for DAX Index
Pair Trading with JD SPORTS and DAX Index
The main advantage of trading using opposite JD SPORTS and DAX Index positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if JD SPORTS position performs unexpectedly, DAX Index 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 DAX Index will offset losses from the drop in DAX Index's long position.| JD SPORTS vs. FAST RETAIL ADR | JD SPORTS vs. CCC SA | JD SPORTS vs. Superior Plus Corp | JD SPORTS vs. SIVERS SEMICONDUCTORS AB |
| DAX Index vs. PLAYTIKA HOLDING DL 01 | DAX Index vs. Eagle Materials | DAX Index vs. Materialise NV | DAX Index vs. JD SPORTS FASH |
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 Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device |