Correlation Between Citi Trends and Mednow
Can any of the company-specific risk be diversified away by investing in both Citi Trends and Mednow 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 Citi Trends and Mednow into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Citi Trends and Mednow Inc, you can compare the effects of market volatilities on Citi Trends and Mednow 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 Citi Trends with a short position of Mednow. Check out your portfolio center. Please also check ongoing floating volatility patterns of Citi Trends and Mednow.
Diversification Opportunities for Citi Trends and Mednow
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Citi and Mednow is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Citi Trends and Mednow Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mednow Inc and Citi Trends 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 Citi Trends are associated (or correlated) with Mednow. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mednow Inc has no effect on the direction of Citi Trends i.e., Citi Trends and Mednow go up and down completely randomly.
Pair Corralation between Citi Trends and Mednow
If you would invest 1,905 in Citi Trends on September 4, 2024 and sell it today you would earn a total of 171.00 from holding Citi Trends or generate 8.98% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.24% |
| Values | Daily Returns |
Citi Trends vs. Mednow Inc
Performance |
| Timeline |
| Citi Trends |
| Mednow Inc |
Citi Trends and Mednow Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Citi Trends and Mednow
The main advantage of trading using opposite Citi Trends and Mednow positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Citi Trends position performs unexpectedly, Mednow 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 Mednow will offset losses from the drop in Mednow's long position.| Citi Trends vs. JJill Inc | Citi Trends vs. Zumiez Inc | Citi Trends vs. Tillys Inc | Citi Trends vs. Duluth Holdings |
| Mednow vs. Capital Clean Energy | Mednow vs. 51Talk Online Education | Mednow vs. Weyco Group | Mednow vs. Ihuman Inc |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
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