Eca Marcellus Trust Stock Volatility
| ECTM Stock | USD 0.50 0.01 1.96% |
As of now, ECA Pink Sheet is out of control. ECA Marcellus Trust retains Efficiency (Sharpe Ratio) of 0.0233, which denotes the company had a 0.0233 % return per unit of risk over the last 3 months. We have found twenty-eight technical indicators for ECA Marcellus, which you can use to evaluate the volatility of the entity. Please confirm ECA Marcellus' Coefficient Of Variation of 4292.52, downside deviation of 4.54, and Market Risk Adjusted Performance of (0.12) to check if the risk estimate we provide is consistent with the expected return of 0.11%.
Sharpe Ratio = 0.0233
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Based on monthly moving average ECA Marcellus is performing at about 1% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of ECA Marcellus by adding it to a well-diversified portfolio.
Key indicators related to ECA Marcellus' volatility include:30 Days Market Risk | Chance Of Distress | 30 Days Economic Sensitivity |
ECA Marcellus Pink Sheet volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of ECA daily returns, and it is calculated using variance and standard deviation. We also use ECA's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of ECA Marcellus volatility.
ECA |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as ECA Marcellus can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of ECA Marcellus at lower prices. For example, an investor can purchase ECA stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of ECA Marcellus' stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns. Main indicators related to ECA Marcellus' market risk premium analysis include:
Beta (0.83) | Alpha 0.18 | Risk 4.9 | Sharpe Ratio 0.0233 | Expected Return 0.11 |
Moving against ECA Pink Sheet
ECA Marcellus Market Sensitivity And Downside Risk
ECA Marcellus' beta coefficient measures the volatility of ECA pink sheet compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents ECA pink sheet's returns against your selected market. In other words, ECA Marcellus's beta of -0.83 provides an investor with an approximation of how much risk ECA Marcellus pink sheet can potentially add to one of your existing portfolios. ECA Marcellus Trust shows above-average downside volatility for the selected time horizon. ECA Marcellus Trust is a potential penny stock. Although ECA Marcellus may be in fact a good instrument to invest, many penny pink sheets are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in ECA Marcellus Trust. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on ECA instrument if you perfectly time your entry and exit. However, remember that penny pink sheets that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.
3 Months Beta |Analyze ECA Marcellus Trust Demand TrendCheck current 90 days ECA Marcellus correlation with market (Dow Jones Industrial)ECA Marcellus Volatility and Downside Risk
ECA standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
ECA Marcellus Trust Pink Sheet Volatility Analysis
Volatility refers to the frequency at which ECA Marcellus pink sheet price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with ECA Marcellus' price changes. Investors will then calculate the volatility of ECA Marcellus' pink sheet to predict their future moves. A pink sheet that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A pink sheet with relatively stable price changes has low volatility. A highly volatile pink sheet is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of ECA Marcellus' volatility:
Historical Volatility
This type of pink sheet volatility measures ECA Marcellus' fluctuations based on previous trends. It's commonly used to predict ECA Marcellus' future behavior based on its past. However, it cannot conclusively determine the future direction of the pink sheet.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for ECA Marcellus' current market price. This means that the pink sheet will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on ECA Marcellus' to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. ECA Marcellus Trust Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.
ECA Marcellus Projected Return Density Against Market
Given the investment horizon of 90 days ECA Marcellus Trust has a beta of -0.8262 suggesting as returns on the benchmark increase, returns on holding ECA Marcellus are expected to decrease at a much lower rate. During a bear market, however, ECA Marcellus Trust is likely to outperform the market.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to ECA Marcellus or Energy sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that ECA Marcellus' price will be affected by overall pink sheet market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a ECA pink sheet's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
ECA Marcellus Trust has an alpha of 0.1788, implying that it can generate a 0.18 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
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What Drives an ECA Marcellus Price Volatility?
Several factors can influence a pink sheet's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.ECA Marcellus Pink Sheet Risk Measures
Given the investment horizon of 90 days the coefficient of variation of ECA Marcellus is 4292.52. The daily returns are distributed with a variance of 24.04 and standard deviation of 4.9. The mean deviation of ECA Marcellus Trust is currently at 3.39. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.69
α | Alpha over Dow Jones | 0.18 | |
β | Beta against Dow Jones | -0.83 | |
σ | Overall volatility | 4.90 | |
Ir | Information ratio | 0 |
ECA Marcellus Pink Sheet Return Volatility
ECA Marcellus historical daily return volatility represents how much of ECA Marcellus pink sheet's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 4.9027% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.6944% volatility on return distribution over the 90 days horizon. Performance |
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Related Correlations Analysis
| 0.06 | -0.29 | 0.04 | 0.06 | 0.0 | GULTU | ||
| 0.06 | -0.04 | 0.18 | 0.12 | 0.0 | ROYTL | ||
| -0.29 | -0.04 | -0.01 | 0.17 | 0.0 | HGTXU | ||
| 0.04 | 0.18 | -0.01 | 0.18 | 0.0 | SDTTU | ||
| 0.06 | 0.12 | 0.17 | 0.18 | 0.0 | CHKR | ||
| 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | TISDZ | ||
Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
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Risk-Adjusted Indicators
There is a big difference between ECA Pink Sheet performing well and ECA Marcellus Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze ECA Marcellus' multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| GULTU | 4.34 | 1.61 | 0.21 | (1.23) | 2.90 | 15.38 | 22.05 | |||
| ROYTL | 5.49 | 0.22 | 0.02 | 0.26 | 6.99 | 20.00 | 58.33 | |||
| HGTXU | 4.28 | (0.20) | 0.00 | (0.37) | 0.00 | 10.00 | 38.03 | |||
| SDTTU | 96.07 | (48.66) | 0.00 | 5.15 | 0.00 | 9.09 | 1,058 | |||
| CHKR | 2.58 | 0.05 | 0.00 | 0.19 | 2.87 | 4.76 | 18.45 | |||
| TISDZ | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
About ECA Marcellus Volatility
Volatility is a rate at which the price of ECA Marcellus or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of ECA Marcellus may increase or decrease. In other words, similar to ECA's beta indicator, it measures the risk of ECA Marcellus and helps estimate the fluctuations that may happen in a short period of time. So if prices of ECA Marcellus fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.ECA Marcellus Trust I owns royalty interests in producing and development horizontal natural gas wells for Energy Corporation of America . ECA Marcellus Trust I was incorporated in 2010 and is based in Houston, Texas. Eca Marcellus operates under Oil Gas Integrated classification in the United States and is traded on New York Stock Exchange.
ECA Marcellus' stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on ECA Pink Sheet over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much ECA Marcellus' price varies over time.
3 ways to utilize ECA Marcellus' volatility to invest better
Higher ECA Marcellus' stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of ECA Marcellus Trust stock is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. ECA Marcellus Trust stock volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of ECA Marcellus Trust investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in ECA Marcellus' stock can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of ECA Marcellus' stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
ECA Marcellus Investment Opportunity
ECA Marcellus Trust has a volatility of 4.9 and is 7.1 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of ECA Marcellus Trust is lower than 44 percent of all global equities and portfolios over the last 90 days. You can use ECA Marcellus Trust to protect your portfolios against small market fluctuations. The pink sheet experiences a bearish sentiment with high volatility. Check odds of ECA Marcellus to be traded at $0.485 in 90 days.Good diversification
The correlation between ECA Marcellus Trust and DJI is -0.12 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding ECA Marcellus Trust and DJI in the same portfolio, assuming nothing else is changed.
ECA Marcellus Additional Risk Indicators
The analysis of ECA Marcellus' secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in ECA Marcellus' investment and either accepting that risk or mitigating it. Along with some common measures of ECA Marcellus pink sheet's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | 0.0247 | |||
| Market Risk Adjusted Performance | (0.12) | |||
| Mean Deviation | 3.39 | |||
| Semi Deviation | 3.41 | |||
| Downside Deviation | 4.54 | |||
| Coefficient Of Variation | 4292.52 | |||
| Standard Deviation | 4.9 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential pink sheets, we recommend comparing similar pink sheets with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
ECA Marcellus Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
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The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against ECA Marcellus as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. ECA Marcellus' systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, ECA Marcellus' unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to ECA Marcellus Trust.
Other Information on Investing in ECA Pink Sheet
ECA Marcellus financial ratios help investors to determine whether ECA Pink Sheet is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in ECA with respect to the benefits of owning ECA Marcellus security.