Correlation Between JGCHEMICALS and Can Fin
Specify exactly 2 symbols:
By analyzing existing cross correlation between JGCHEMICALS LIMITED and Can Fin Homes, you can compare the effects of market volatilities on JGCHEMICALS and Can Fin 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 JGCHEMICALS with a short position of Can Fin. Check out your portfolio center. Please also check ongoing floating volatility patterns of JGCHEMICALS and Can Fin.
Diversification Opportunities for JGCHEMICALS and Can Fin
0.95 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between JGCHEMICALS and Can is 0.95. Overlapping area represents the amount of risk that can be diversified away by holding JGCHEMICALS LIMITED and Can Fin Homes in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Can Fin Homes and JGCHEMICALS 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 JGCHEMICALS LIMITED are associated (or correlated) with Can Fin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Can Fin Homes has no effect on the direction of JGCHEMICALS i.e., JGCHEMICALS and Can Fin go up and down completely randomly.
Pair Corralation between JGCHEMICALS and Can Fin
Assuming the 90 days trading horizon JGCHEMICALS LIMITED is expected to generate 1.68 times more return on investment than Can Fin. However, JGCHEMICALS is 1.68 times more volatile than Can Fin Homes. It trades about -0.17 of its potential returns per unit of risk. Can Fin Homes is currently generating about -0.3 per unit of risk. If you would invest 40,215 in JGCHEMICALS LIMITED on November 30, 2024 and sell it today you would lose (9,710) from holding JGCHEMICALS LIMITED or give up 24.15% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
JGCHEMICALS LIMITED vs. Can Fin Homes
Performance |
| Timeline |
| JGCHEMICALS LIMITED |
| Can Fin Homes |
JGCHEMICALS and Can Fin Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with JGCHEMICALS and Can Fin
The main advantage of trading using opposite JGCHEMICALS and Can Fin positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if JGCHEMICALS position performs unexpectedly, Can Fin 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 Can Fin will offset losses from the drop in Can Fin's long position.| JGCHEMICALS vs. Dharani SugarsChemicals Limited | JGCHEMICALS vs. Generic Engineering Construction | JGCHEMICALS vs. Hexa Tradex Limited | JGCHEMICALS vs. Navneet Education Limited |
| Can Fin vs. Tube Investments of | Can Fin vs. POWERGRID Infrastructure Investment | Can Fin vs. Bajaj Holdings Investment | Can Fin vs. Hexaware Technologies Limited |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance |