Correlation Between Orient Sec and Guangzhou Haige
Specify exactly 2 symbols:
By analyzing existing cross correlation between Orient Sec Co and Guangzhou Haige Communications, you can compare the effects of market volatilities on Orient Sec and Guangzhou Haige 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 Orient Sec with a short position of Guangzhou Haige. Check out your portfolio center. Please also check ongoing floating volatility patterns of Orient Sec and Guangzhou Haige.
Diversification Opportunities for Orient Sec and Guangzhou Haige
0.86 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Orient and Guangzhou is 0.86. Overlapping area represents the amount of risk that can be diversified away by holding Orient Sec Co and Guangzhou Haige Communications in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guangzhou Haige Comm and Orient Sec 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 Orient Sec Co are associated (or correlated) with Guangzhou Haige. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guangzhou Haige Comm has no effect on the direction of Orient Sec i.e., Orient Sec and Guangzhou Haige go up and down completely randomly.
Pair Corralation between Orient Sec and Guangzhou Haige
Assuming the 90 days trading horizon Orient Sec Co is expected to under-perform the Guangzhou Haige. But the stock apears to be less risky and, when comparing its historical volatility, Orient Sec Co is 1.36 times less risky than Guangzhou Haige. The stock trades about 0.0 of its potential returns per unit of risk. The Guangzhou Haige Communications is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 1,120 in Guangzhou Haige Communications on September 25, 2024 and sell it today you would earn a total of 29.00 from holding Guangzhou Haige Communications or generate 2.59% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Orient Sec Co vs. Guangzhou Haige Communications
Performance |
Timeline |
Orient Sec |
Guangzhou Haige Comm |
Orient Sec and Guangzhou Haige Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Orient Sec and Guangzhou Haige
The main advantage of trading using opposite Orient Sec and Guangzhou Haige positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Orient Sec position performs unexpectedly, Guangzhou Haige 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 Guangzhou Haige will offset losses from the drop in Guangzhou Haige's long position.Orient Sec vs. Guangzhou Haige Communications | Orient Sec vs. Jinhui Liquor Co | Orient Sec vs. China National Software | Orient Sec vs. SUNSEA Telecommunications Co |
Guangzhou Haige vs. Industrial and Commercial | Guangzhou Haige vs. Agricultural Bank of | Guangzhou Haige vs. China Construction Bank | Guangzhou Haige vs. Bank of China |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Other Complementary Tools
Share Portfolio Track or share privately all of your investments from the convenience of any device | |
Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |