Correlation Between Western Superconducting and Xinjiang Communications
Specify exactly 2 symbols:
By analyzing existing cross correlation between Western Superconducting Tech and Xinjiang Communications Construction, you can compare the effects of market volatilities on Western Superconducting and Xinjiang Communications 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 Western Superconducting with a short position of Xinjiang Communications. Check out your portfolio center. Please also check ongoing floating volatility patterns of Western Superconducting and Xinjiang Communications.
Diversification Opportunities for Western Superconducting and Xinjiang Communications
0.73 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Western and Xinjiang is 0.73. Overlapping area represents the amount of risk that can be diversified away by holding Western Superconducting Tech and Xinjiang Communications Constr in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinjiang Communications and Western Superconducting 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 Western Superconducting Tech are associated (or correlated) with Xinjiang Communications. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinjiang Communications has no effect on the direction of Western Superconducting i.e., Western Superconducting and Xinjiang Communications go up and down completely randomly.
Pair Corralation between Western Superconducting and Xinjiang Communications
Assuming the 90 days trading horizon Western Superconducting Tech is expected to under-perform the Xinjiang Communications. But the stock apears to be less risky and, when comparing its historical volatility, Western Superconducting Tech is 1.17 times less risky than Xinjiang Communications. The stock trades about -0.02 of its potential returns per unit of risk. The Xinjiang Communications Construction is currently generating about 0.01 of returns per unit of risk over similar time horizon. If you would invest 1,199 in Xinjiang Communications Construction on September 20, 2024 and sell it today you would lose (7.00) from holding Xinjiang Communications Construction or give up 0.58% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 100.0% |
Values | Daily Returns |
Western Superconducting Tech vs. Xinjiang Communications Constr
Performance |
Timeline |
Western Superconducting |
Xinjiang Communications |
Western Superconducting and Xinjiang Communications Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Western Superconducting and Xinjiang Communications
The main advantage of trading using opposite Western Superconducting and Xinjiang Communications positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Western Superconducting position performs unexpectedly, Xinjiang Communications 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 Xinjiang Communications will offset losses from the drop in Xinjiang Communications' long position.Western Superconducting vs. Ming Yang Smart | Western Superconducting vs. 159681 | Western Superconducting vs. 159005 | Western Superconducting vs. Loctek Ergonomic Technology |
Xinjiang Communications vs. Industrial and Commercial | Xinjiang Communications vs. Kweichow Moutai Co | Xinjiang Communications vs. Agricultural Bank of | Xinjiang Communications vs. China Mobile Limited |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
FinTech Suite Use AI to screen and filter profitable investment opportunities | |
Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
Equity Valuation Check real value of public entities based on technical and fundamental data | |
Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |