Correlation Between Guangdong Brandmax and Heilongjiang Transport
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangdong Brandmax Marketing and Heilongjiang Transport Development, you can compare the effects of market volatilities on Guangdong Brandmax and Heilongjiang Transport 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 Guangdong Brandmax with a short position of Heilongjiang Transport. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangdong Brandmax and Heilongjiang Transport.
Diversification Opportunities for Guangdong Brandmax and Heilongjiang Transport
0.4 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Guangdong and Heilongjiang is 0.4. Overlapping area represents the amount of risk that can be diversified away by holding Guangdong Brandmax Marketing and Heilongjiang Transport Develop in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Heilongjiang Transport and Guangdong Brandmax 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 Guangdong Brandmax Marketing are associated (or correlated) with Heilongjiang Transport. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Heilongjiang Transport has no effect on the direction of Guangdong Brandmax i.e., Guangdong Brandmax and Heilongjiang Transport go up and down completely randomly.
Pair Corralation between Guangdong Brandmax and Heilongjiang Transport
Assuming the 90 days trading horizon Guangdong Brandmax Marketing is expected to generate 1.42 times more return on investment than Heilongjiang Transport. However, Guangdong Brandmax is 1.42 times more volatile than Heilongjiang Transport Development. It trades about 0.04 of its potential returns per unit of risk. Heilongjiang Transport Development is currently generating about 0.02 per unit of risk. If you would invest 699.00 in Guangdong Brandmax Marketing on October 10, 2024 and sell it today you would earn a total of 371.00 from holding Guangdong Brandmax Marketing or generate 53.08% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
Guangdong Brandmax Marketing vs. Heilongjiang Transport Develop
Performance |
Timeline |
Guangdong Brandmax |
Heilongjiang Transport |
Guangdong Brandmax and Heilongjiang Transport Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Guangdong Brandmax and Heilongjiang Transport
The main advantage of trading using opposite Guangdong Brandmax and Heilongjiang Transport positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangdong Brandmax position performs unexpectedly, Heilongjiang Transport 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 Heilongjiang Transport will offset losses from the drop in Heilongjiang Transport's long position.Guangdong Brandmax vs. Hengdian Entertainment Co | Guangdong Brandmax vs. Leyard Optoelectronic | Guangdong Brandmax vs. Anhui Xinhua Media | Guangdong Brandmax vs. Guangdong Jinma Entertainment |
Heilongjiang Transport vs. Xinxiang Chemical Fiber | Heilongjiang Transport vs. Maoming Petro Chemical Shihua | Heilongjiang Transport vs. Nanning Chemical Industry | Heilongjiang Transport vs. Dosilicon Co |
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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
Other Complementary Tools
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity |