Correlation Between Brainstorm Cell and Caterpillar
Specify exactly 2 symbols:
By analyzing existing cross correlation between Brainstorm Cell Therapeutics and Caterpillar, you can compare the effects of market volatilities on Brainstorm Cell and Caterpillar 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 Brainstorm Cell with a short position of Caterpillar. Check out your portfolio center. Please also check ongoing floating volatility patterns of Brainstorm Cell and Caterpillar.
Diversification Opportunities for Brainstorm Cell and Caterpillar
-0.86 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Brainstorm and Caterpillar is -0.86. Overlapping area represents the amount of risk that can be diversified away by holding Brainstorm Cell Therapeutics and Caterpillar in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Caterpillar and Brainstorm Cell 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 Brainstorm Cell Therapeutics are associated (or correlated) with Caterpillar. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Caterpillar has no effect on the direction of Brainstorm Cell i.e., Brainstorm Cell and Caterpillar go up and down completely randomly.
Pair Corralation between Brainstorm Cell and Caterpillar
Assuming the 90 days trading horizon Brainstorm Cell is expected to generate 1.08 times less return on investment than Caterpillar. In addition to that, Brainstorm Cell is 4.23 times more volatile than Caterpillar. It trades about 0.03 of its total potential returns per unit of risk. Caterpillar is currently generating about 0.13 per unit of volatility. If you would invest 23,492 in Caterpillar on September 2, 2024 and sell it today you would earn a total of 15,258 from holding Caterpillar or generate 64.95% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 99.6% |
| Values | Daily Returns |
Brainstorm Cell Therapeutics vs. Caterpillar
Performance |
| Timeline |
| Brainstorm Cell Ther |
| Caterpillar |
Brainstorm Cell and Caterpillar Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Brainstorm Cell and Caterpillar
The main advantage of trading using opposite Brainstorm Cell and Caterpillar positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Brainstorm Cell position performs unexpectedly, Caterpillar 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 Caterpillar will offset losses from the drop in Caterpillar's long position.| Brainstorm Cell vs. Superior Plus Corp | Brainstorm Cell vs. NMI Holdings | Brainstorm Cell vs. Origin Agritech | Brainstorm Cell vs. SIVERS SEMICONDUCTORS AB |
| Caterpillar vs. BROADSTNET LEADL 00025 | Caterpillar vs. Texas Roadhouse | Caterpillar vs. GALENA MINING LTD | Caterpillar vs. TITANIUM TRANSPORTGROUP |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Other Complementary Tools
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |