Correlation Between INTERSHOP Communications and CONAGRA FOODS
Specify exactly 2 symbols:
By analyzing existing cross correlation between INTERSHOP Communications Aktiengesellschaft and CONAGRA FOODS, you can compare the effects of market volatilities on INTERSHOP Communications and CONAGRA FOODS 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 INTERSHOP Communications with a short position of CONAGRA FOODS. Check out your portfolio center. Please also check ongoing floating volatility patterns of INTERSHOP Communications and CONAGRA FOODS.
Diversification Opportunities for INTERSHOP Communications and CONAGRA FOODS
-0.29 | Correlation Coefficient |
Very good diversification
The 3 months correlation between INTERSHOP and CONAGRA is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding INTERSHOP Communications Aktie and CONAGRA FOODS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CONAGRA FOODS and INTERSHOP Communications 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 INTERSHOP Communications Aktiengesellschaft are associated (or correlated) with CONAGRA FOODS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CONAGRA FOODS has no effect on the direction of INTERSHOP Communications i.e., INTERSHOP Communications and CONAGRA FOODS go up and down completely randomly.
Pair Corralation between INTERSHOP Communications and CONAGRA FOODS
Assuming the 90 days trading horizon INTERSHOP Communications Aktiengesellschaft is expected to generate 1.24 times more return on investment than CONAGRA FOODS. However, INTERSHOP Communications is 1.24 times more volatile than CONAGRA FOODS. It trades about -0.05 of its potential returns per unit of risk. CONAGRA FOODS is currently generating about -0.11 per unit of risk. If you would invest 180.00 in INTERSHOP Communications Aktiengesellschaft on October 16, 2024 and sell it today you would lose (3.00) from holding INTERSHOP Communications Aktiengesellschaft or give up 1.67% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
INTERSHOP Communications Aktie vs. CONAGRA FOODS
Performance |
| Timeline |
| INTERSHOP Communications |
| CONAGRA FOODS |
INTERSHOP Communications and CONAGRA FOODS Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with INTERSHOP Communications and CONAGRA FOODS
The main advantage of trading using opposite INTERSHOP Communications and CONAGRA FOODS positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if INTERSHOP Communications position performs unexpectedly, CONAGRA FOODS 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 CONAGRA FOODS will offset losses from the drop in CONAGRA FOODS's long position.The idea behind INTERSHOP Communications Aktiengesellschaft and CONAGRA FOODS 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.
| CONAGRA FOODS vs. Alfa Financial Software | CONAGRA FOODS vs. PKSHA TECHNOLOGY INC | CONAGRA FOODS vs. MAGNUM MINING EXP | CONAGRA FOODS vs. Sunny Optical Technology |
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 Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Other Complementary Tools
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |