Correlation Between SWEDA and Allegiant Travel
Specify exactly 2 symbols:
By analyzing existing cross correlation between SWEDA 1538 16 NOV 26 and Allegiant Travel, you can compare the effects of market volatilities on SWEDA and Allegiant Travel 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 SWEDA with a short position of Allegiant Travel. Check out your portfolio center. Please also check ongoing floating volatility patterns of SWEDA and Allegiant Travel.
Diversification Opportunities for SWEDA and Allegiant Travel
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between SWEDA and Allegiant is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding SWEDA 1538 16 NOV 26 and Allegiant Travel in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Allegiant Travel and SWEDA 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 SWEDA 1538 16 NOV 26 are associated (or correlated) with Allegiant Travel. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Allegiant Travel has no effect on the direction of SWEDA i.e., SWEDA and Allegiant Travel go up and down completely randomly.
Pair Corralation between SWEDA and Allegiant Travel
Assuming the 90 days trading horizon SWEDA 1538 16 NOV 26 is expected to under-perform the Allegiant Travel. But the bond apears to be less risky and, when comparing its historical volatility, SWEDA 1538 16 NOV 26 is 1.31 times less risky than Allegiant Travel. The bond trades about -0.42 of its potential returns per unit of risk. The Allegiant Travel is currently generating about 0.17 of returns per unit of risk over similar time horizon. If you would invest 7,608 in Allegiant Travel on September 15, 2024 and sell it today you would earn a total of 882.00 from holding Allegiant Travel or generate 11.59% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 33.33% |
| Values | Daily Returns |
SWEDA 1538 16 NOV 26 vs. Allegiant Travel
Performance |
| Timeline |
| SWEDA 1538 16 |
| Allegiant Travel |
SWEDA and Allegiant Travel Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SWEDA and Allegiant Travel
The main advantage of trading using opposite SWEDA and Allegiant Travel positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SWEDA position performs unexpectedly, Allegiant Travel 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 Allegiant Travel will offset losses from the drop in Allegiant Travel's long position.| SWEDA vs. Allegiant Travel | SWEDA vs. WEBTOON Entertainment Common | SWEDA vs. Volaris | SWEDA vs. Delta Air Lines |
| Allegiant Travel vs. Azul SA | Allegiant Travel vs. Alaska Air Group | Allegiant Travel vs. International Consolidated Airlines | Allegiant Travel vs. Sun Country Airlines |
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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position 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 | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios |