Correlation Between Asbury Automotive and CONSOLIDATED
Specify exactly 2 symbols:
By analyzing existing cross correlation between Asbury Automotive Group and CONSOLIDATED EDISON N, you can compare the effects of market volatilities on Asbury Automotive and CONSOLIDATED 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 Asbury Automotive with a short position of CONSOLIDATED. Check out your portfolio center. Please also check ongoing floating volatility patterns of Asbury Automotive and CONSOLIDATED.
Diversification Opportunities for Asbury Automotive and CONSOLIDATED
-0.59 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Asbury and CONSOLIDATED is -0.59. Overlapping area represents the amount of risk that can be diversified away by holding Asbury Automotive Group and CONSOLIDATED EDISON N in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CONSOLIDATED EDISON and Asbury Automotive 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 Asbury Automotive Group are associated (or correlated) with CONSOLIDATED. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CONSOLIDATED EDISON has no effect on the direction of Asbury Automotive i.e., Asbury Automotive and CONSOLIDATED go up and down completely randomly.
Pair Corralation between Asbury Automotive and CONSOLIDATED
Considering the 90-day investment horizon Asbury Automotive Group is expected to generate 1.47 times more return on investment than CONSOLIDATED. However, Asbury Automotive is 1.47 times more volatile than CONSOLIDATED EDISON N. It trades about 0.28 of its potential returns per unit of risk. CONSOLIDATED EDISON N is currently generating about -0.14 per unit of risk. If you would invest 22,784 in Asbury Automotive Group on September 1, 2024 and sell it today you would earn a total of 3,199 from holding Asbury Automotive Group or generate 14.04% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 85.71% |
| Values | Daily Returns |
Asbury Automotive Group vs. CONSOLIDATED EDISON N
Performance |
| Timeline |
| Asbury Automotive |
| CONSOLIDATED EDISON |
Asbury Automotive and CONSOLIDATED Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Asbury Automotive and CONSOLIDATED
The main advantage of trading using opposite Asbury Automotive and CONSOLIDATED positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Asbury Automotive position performs unexpectedly, CONSOLIDATED 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 CONSOLIDATED will offset losses from the drop in CONSOLIDATED's long position.| Asbury Automotive vs. Advance Auto Parts | Asbury Automotive vs. Tractor Supply | Asbury Automotive vs. Genuine Parts Co | Asbury Automotive vs. Five Below |
| CONSOLIDATED vs. Titan Machinery | CONSOLIDATED vs. Radcom | CONSOLIDATED vs. Asbury Automotive Group | CONSOLIDATED vs. Reservoir Media |
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 Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets |