Correlation Between Muyuan Foodstuff and Jinhui Mining
Specify exactly 2 symbols:
By analyzing existing cross correlation between Muyuan Foodstuff Co and Jinhui Mining Co, you can compare the effects of market volatilities on Muyuan Foodstuff and Jinhui Mining 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 Muyuan Foodstuff with a short position of Jinhui Mining. Check out your portfolio center. Please also check ongoing floating volatility patterns of Muyuan Foodstuff and Jinhui Mining.
Diversification Opportunities for Muyuan Foodstuff and Jinhui Mining
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Muyuan and Jinhui is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Muyuan Foodstuff Co and Jinhui Mining Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jinhui Mining and Muyuan Foodstuff 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 Muyuan Foodstuff Co are associated (or correlated) with Jinhui Mining. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jinhui Mining has no effect on the direction of Muyuan Foodstuff i.e., Muyuan Foodstuff and Jinhui Mining go up and down completely randomly.
Pair Corralation between Muyuan Foodstuff and Jinhui Mining
Assuming the 90 days trading horizon Muyuan Foodstuff is expected to generate 1.4 times less return on investment than Jinhui Mining. In addition to that, Muyuan Foodstuff is 1.04 times more volatile than Jinhui Mining Co. It trades about 0.07 of its total potential returns per unit of risk. Jinhui Mining Co is currently generating about 0.09 per unit of volatility. If you would invest 1,069 in Jinhui Mining Co on September 12, 2024 and sell it today you would earn a total of 135.00 from holding Jinhui Mining Co or generate 12.63% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Very Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Muyuan Foodstuff Co vs. Jinhui Mining Co
Performance |
Timeline |
Muyuan Foodstuff |
Jinhui Mining |
Muyuan Foodstuff and Jinhui Mining Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Muyuan Foodstuff and Jinhui Mining
The main advantage of trading using opposite Muyuan Foodstuff and Jinhui Mining positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Muyuan Foodstuff position performs unexpectedly, Jinhui Mining 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 Jinhui Mining will offset losses from the drop in Jinhui Mining's long position.Muyuan Foodstuff vs. Nanjing Putian Telecommunications | Muyuan Foodstuff vs. Tianjin Realty Development | Muyuan Foodstuff vs. Kangyue Technology Co | Muyuan Foodstuff vs. Shenzhen Hifuture Electric |
Jinhui Mining vs. Zijin Mining Group | Jinhui Mining vs. Wanhua Chemical Group | Jinhui Mining vs. Baoshan Iron Steel | Jinhui Mining vs. Shandong Gold Mining |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Other Complementary Tools
Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios |