Correlation Between Code Rebel and RTS Oil

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Can any of the company-specific risk be diversified away by investing in both Code Rebel and RTS Oil at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Code Rebel and RTS Oil into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Code Rebel Corp and RTS Oil Holdings, you can compare the effects of market volatilities on Code Rebel and RTS Oil 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 Code Rebel with a short position of RTS Oil. Check out your portfolio center. Please also check ongoing floating volatility patterns of Code Rebel and RTS Oil.

Diversification Opportunities for Code Rebel and RTS Oil

1.0
  Correlation Coefficient

No risk reduction

The 3 months correlation between Code and RTS is 1.0. Overlapping area represents the amount of risk that can be diversified away by holding Code Rebel Corp and RTS Oil Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on RTS Oil Holdings and Code Rebel 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 Code Rebel Corp are associated (or correlated) with RTS Oil. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of RTS Oil Holdings has no effect on the direction of Code Rebel i.e., Code Rebel and RTS Oil go up and down completely randomly.

Pair Corralation between Code Rebel and RTS Oil

If you would invest  0.02  in RTS Oil Holdings on November 7, 2025 and sell it today you would earn a total of  0.00  from holding RTS Oil Holdings or generate 0.0% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthVery Strong
Accuracy96.77%
ValuesDaily Returns

Code Rebel Corp  vs.  RTS Oil Holdings

 Performance 
       Timeline  
Code Rebel Corp 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Code Rebel Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable fundamental drivers, Code Rebel is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.
RTS Oil Holdings 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days RTS Oil Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy basic indicators, RTS Oil is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Code Rebel and RTS Oil Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Code Rebel and RTS Oil

The main advantage of trading using opposite Code Rebel and RTS Oil positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Code Rebel position performs unexpectedly, RTS Oil 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 RTS Oil will offset losses from the drop in RTS Oil's long position.
The idea behind Code Rebel Corp and RTS Oil Holdings pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
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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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.

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