Correlation Between Nicola Mining and Hunter Creek
Can any of the company-specific risk be diversified away by investing in both Nicola Mining and Hunter Creek 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 Nicola Mining and Hunter Creek into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Nicola Mining and Hunter Creek Mining, you can compare the effects of market volatilities on Nicola Mining and Hunter Creek 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 Nicola Mining with a short position of Hunter Creek. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nicola Mining and Hunter Creek.
Diversification Opportunities for Nicola Mining and Hunter Creek
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Nicola and Hunter is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Nicola Mining and Hunter Creek Mining in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hunter Creek Mining and Nicola Mining 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 Nicola Mining are associated (or correlated) with Hunter Creek. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hunter Creek Mining has no effect on the direction of Nicola Mining i.e., Nicola Mining and Hunter Creek go up and down completely randomly.
Pair Corralation between Nicola Mining and Hunter Creek
Assuming the 90 days horizon Nicola Mining is expected to generate 1.36 times more return on investment than Hunter Creek. However, Nicola Mining is 1.36 times more volatile than Hunter Creek Mining. It trades about 0.11 of its potential returns per unit of risk. Hunter Creek Mining is currently generating about 0.03 per unit of risk. If you would invest 9.21 in Nicola Mining on November 5, 2024 and sell it today you would earn a total of 9.79 from holding Nicola Mining or generate 106.3% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 73.29% |
| Values | Daily Returns |
Nicola Mining vs. Hunter Creek Mining
Performance |
| Timeline |
| Nicola Mining |
| Hunter Creek Mining |
Nicola Mining and Hunter Creek Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nicola Mining and Hunter Creek
The main advantage of trading using opposite Nicola Mining and Hunter Creek positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nicola Mining position performs unexpectedly, Hunter Creek 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 Hunter Creek will offset losses from the drop in Hunter Creek's long position.| Nicola Mining vs. Piedmont Lithium Ltd | Nicola Mining vs. Sigma Lithium Resources | Nicola Mining vs. Standard Lithium | Nicola Mining vs. MP Materials Corp |
| Hunter Creek vs. Playtika Holding Corp | Hunter Creek vs. Bilibili | Hunter Creek vs. Jabil Circuit | Hunter Creek vs. Penn National Gaming |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments |