Correlation Between Dow Jones and Climeon AB
Specify exactly 2 symbols:
By analyzing existing cross correlation between Dow Jones Industrial and Climeon AB, you can compare the effects of market volatilities on Dow Jones and Climeon AB 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 Dow Jones with a short position of Climeon AB. Check out your portfolio center. Please also check ongoing floating volatility patterns of Dow Jones and Climeon AB.
Diversification Opportunities for Dow Jones and Climeon AB
-0.79 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Dow and Climeon is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Dow Jones Industrial and Climeon AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Climeon AB and Dow Jones 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 Dow Jones Industrial are associated (or correlated) with Climeon AB. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Climeon AB has no effect on the direction of Dow Jones i.e., Dow Jones and Climeon AB go up and down completely randomly.
Pair Corralation between Dow Jones and Climeon AB
Assuming the 90 days trading horizon Dow Jones Industrial is expected to generate 0.18 times more return on investment than Climeon AB. However, Dow Jones Industrial is 5.57 times less risky than Climeon AB. It trades about 0.37 of its potential returns per unit of risk. Climeon AB is currently generating about -0.25 per unit of risk. If you would invest 4,176,346 in Dow Jones Industrial on September 1, 2024 and sell it today you would earn a total of 314,719 from holding Dow Jones Industrial or generate 7.54% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 91.3% |
| Values | Daily Returns |
Dow Jones Industrial vs. Climeon AB
Performance |
| Timeline |
Dow Jones and Climeon AB Volatility Contrast
Predicted Return Density |
| Returns |
Dow Jones Industrial
Pair trading matchups for Dow Jones
Climeon AB
Pair trading matchups for Climeon AB
Pair Trading with Dow Jones and Climeon AB
The main advantage of trading using opposite Dow Jones and Climeon AB positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Dow Jones position performs unexpectedly, Climeon AB 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 Climeon AB will offset losses from the drop in Climeon AB's long position.| Dow Jones vs. Catalyst Pharmaceuticals | Dow Jones vs. Sphere Entertainment Co | Dow Jones vs. National CineMedia | Dow Jones vs. Mink Therapeutics |
| Climeon AB vs. Minesto AB | Climeon AB vs. SolTech Energy Sweden | Climeon AB vs. Arise Windpower AB | Climeon AB vs. Oncopeptides AB |
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 Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities |