Correlation Between Great Sun and Qingdao Citymedia
Specify exactly 2 symbols:
By analyzing existing cross correlation between Great Sun Foods Co and Qingdao Citymedia Co, you can compare the effects of market volatilities on Great Sun and Qingdao Citymedia 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 Great Sun with a short position of Qingdao Citymedia. Check out your portfolio center. Please also check ongoing floating volatility patterns of Great Sun and Qingdao Citymedia.
Diversification Opportunities for Great Sun and Qingdao Citymedia
0.79 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Great and Qingdao is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding Great Sun Foods Co and Qingdao Citymedia Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Qingdao Citymedia and Great Sun 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 Great Sun Foods Co are associated (or correlated) with Qingdao Citymedia. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Qingdao Citymedia has no effect on the direction of Great Sun i.e., Great Sun and Qingdao Citymedia go up and down completely randomly.
Pair Corralation between Great Sun and Qingdao Citymedia
Assuming the 90 days trading horizon Great Sun Foods Co is expected to generate 1.62 times more return on investment than Qingdao Citymedia. However, Great Sun is 1.62 times more volatile than Qingdao Citymedia Co. It trades about 0.24 of its potential returns per unit of risk. Qingdao Citymedia Co is currently generating about 0.2 per unit of risk. If you would invest 311.00 in Great Sun Foods Co on September 13, 2024 and sell it today you would earn a total of 214.00 from holding Great Sun Foods Co or generate 68.81% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 100.0% |
Values | Daily Returns |
Great Sun Foods Co vs. Qingdao Citymedia Co
Performance |
Timeline |
Great Sun Foods |
Qingdao Citymedia |
Great Sun and Qingdao Citymedia Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Great Sun and Qingdao Citymedia
The main advantage of trading using opposite Great Sun and Qingdao Citymedia positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Great Sun position performs unexpectedly, Qingdao Citymedia 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 Qingdao Citymedia will offset losses from the drop in Qingdao Citymedia's long position.Great Sun vs. Nanjing Putian Telecommunications | Great Sun vs. Tianjin Realty Development | Great Sun vs. Kangyue Technology Co | Great Sun vs. Shenzhen Hifuture Electric |
Qingdao Citymedia vs. Ming Yang Smart | Qingdao Citymedia vs. 159681 | Qingdao Citymedia vs. 159005 | Qingdao Citymedia vs. Loctek Ergonomic Technology |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |