Correlation Between American Express and 142339AL4
Specify exactly 2 symbols:
By analyzing existing cross correlation between American Express and CSL 22 01 MAR 32, you can compare the effects of market volatilities on American Express and 142339AL4 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 American Express with a short position of 142339AL4. Check out your portfolio center. Please also check ongoing floating volatility patterns of American Express and 142339AL4.
Diversification Opportunities for American Express and 142339AL4
-0.78 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between American and 142339AL4 is -0.78. Overlapping area represents the amount of risk that can be diversified away by holding American Express and CSL 22 01 MAR 32 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CSL 22 01 and American Express 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 American Express are associated (or correlated) with 142339AL4. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CSL 22 01 has no effect on the direction of American Express i.e., American Express and 142339AL4 go up and down completely randomly.
Pair Corralation between American Express and 142339AL4
Considering the 90-day investment horizon American Express is expected to generate 2.45 times more return on investment than 142339AL4. However, American Express is 2.45 times more volatile than CSL 22 01 MAR 32. It trades about 0.17 of its potential returns per unit of risk. CSL 22 01 MAR 32 is currently generating about 0.03 per unit of risk. If you would invest 16,644 in American Express on September 3, 2024 and sell it today you would earn a total of 13,582 from holding American Express or generate 81.6% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 92.71% |
| Values | Daily Returns |
American Express vs. CSL 22 01 MAR 32
Performance |
| Timeline |
| American Express |
| CSL 22 01 |
American Express and 142339AL4 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with American Express and 142339AL4
The main advantage of trading using opposite American Express and 142339AL4 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if American Express position performs unexpectedly, 142339AL4 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 142339AL4 will offset losses from the drop in 142339AL4's long position.| American Express vs. Highway Holdings Limited | American Express vs. QCR Holdings | American Express vs. Partner Communications | American Express vs. Acumen Pharmaceuticals |
| 142339AL4 vs. The Wendys Co | 142339AL4 vs. Sapiens International | 142339AL4 vs. Cadence Design Systems | 142339AL4 vs. NetSol Technologies |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Other Complementary Tools
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk |