Correlation Between Newgen Software and Cantabil Retail
Specify exactly 2 symbols:
By analyzing existing cross correlation between Newgen Software Technologies and Cantabil Retail India, you can compare the effects of market volatilities on Newgen Software and Cantabil Retail 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 Newgen Software with a short position of Cantabil Retail. Check out your portfolio center. Please also check ongoing floating volatility patterns of Newgen Software and Cantabil Retail.
Diversification Opportunities for Newgen Software and Cantabil Retail
0.9 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Newgen and Cantabil is 0.9. Overlapping area represents the amount of risk that can be diversified away by holding Newgen Software Technologies and Cantabil Retail India in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cantabil Retail India and Newgen Software 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 Newgen Software Technologies are associated (or correlated) with Cantabil Retail. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cantabil Retail India has no effect on the direction of Newgen Software i.e., Newgen Software and Cantabil Retail go up and down completely randomly.
Pair Corralation between Newgen Software and Cantabil Retail
Assuming the 90 days trading horizon Newgen Software is expected to generate 1.22 times less return on investment than Cantabil Retail. In addition to that, Newgen Software is 1.57 times more volatile than Cantabil Retail India. It trades about 0.18 of its total potential returns per unit of risk. Cantabil Retail India is currently generating about 0.34 per unit of volatility. If you would invest 21,649 in Cantabil Retail India on October 11, 2024 and sell it today you would earn a total of 8,436 from holding Cantabil Retail India or generate 38.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Newgen Software Technologies vs. Cantabil Retail India
Performance |
| Timeline |
| Newgen Software Tech |
| Cantabil Retail India |
Newgen Software and Cantabil Retail Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Newgen Software and Cantabil Retail
The main advantage of trading using opposite Newgen Software and Cantabil Retail positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Newgen Software position performs unexpectedly, Cantabil Retail 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 Cantabil Retail will offset losses from the drop in Cantabil Retail's long position.| Newgen Software vs. R S Software | Newgen Software vs. Praxis Home Retail | Newgen Software vs. Osia Hyper Retail | Newgen Software vs. Silgo Retail Limited |
| Cantabil Retail vs. Infomedia Press Limited | Cantabil Retail vs. Mangalore Chemicals Fertilizers | Cantabil Retail vs. Newgen Software Technologies | Cantabil Retail vs. Vishnu Chemicals 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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |