Correlation Between Olympic Circuit and Guangdong Jinma
Specify exactly 2 symbols:
By analyzing existing cross correlation between Olympic Circuit Technology and Guangdong Jinma Entertainment, you can compare the effects of market volatilities on Olympic Circuit and Guangdong Jinma 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 Olympic Circuit with a short position of Guangdong Jinma. Check out your portfolio center. Please also check ongoing floating volatility patterns of Olympic Circuit and Guangdong Jinma.
Diversification Opportunities for Olympic Circuit and Guangdong Jinma
0.86 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Olympic and Guangdong is 0.86. Overlapping area represents the amount of risk that can be diversified away by holding Olympic Circuit Technology and Guangdong Jinma Entertainment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guangdong Jinma Ente and Olympic Circuit 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 Olympic Circuit Technology are associated (or correlated) with Guangdong Jinma. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guangdong Jinma Ente has no effect on the direction of Olympic Circuit i.e., Olympic Circuit and Guangdong Jinma go up and down completely randomly.
Pair Corralation between Olympic Circuit and Guangdong Jinma
Assuming the 90 days trading horizon Olympic Circuit Technology is expected to generate 1.09 times more return on investment than Guangdong Jinma. However, Olympic Circuit is 1.09 times more volatile than Guangdong Jinma Entertainment. It trades about 0.12 of its potential returns per unit of risk. Guangdong Jinma Entertainment is currently generating about 0.1 per unit of risk. If you would invest 2,197 in Olympic Circuit Technology on September 26, 2024 and sell it today you would earn a total of 715.00 from holding Olympic Circuit Technology or generate 32.54% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Olympic Circuit Technology vs. Guangdong Jinma Entertainment
Performance |
Timeline |
Olympic Circuit Tech |
Guangdong Jinma Ente |
Olympic Circuit and Guangdong Jinma Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Olympic Circuit and Guangdong Jinma
The main advantage of trading using opposite Olympic Circuit and Guangdong Jinma positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Olympic Circuit position performs unexpectedly, Guangdong Jinma 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 Guangdong Jinma will offset losses from the drop in Guangdong Jinma's long position.Olympic Circuit vs. Jiajia Food Group | Olympic Circuit vs. Dr Peng Telecom | Olympic Circuit vs. Guilin Seamild Foods | Olympic Circuit vs. Guangzhou Haige Communications |
Guangdong Jinma vs. Peoples Insurance of | Guangdong Jinma vs. Olympic Circuit Technology | Guangdong Jinma vs. Dymatic Chemicals | Guangdong Jinma vs. Northking Information 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 Global Correlations module to find global opportunities by holding instruments from different markets.
Other Complementary Tools
Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |