Correlation Between BioAffinity Technologies and Nanomix

Can any of the company-specific risk be diversified away by investing in both BioAffinity Technologies and Nanomix at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining BioAffinity Technologies and Nanomix into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between bioAffinity Technologies Warrant and Nanomix, you can compare the effects of market volatilities on BioAffinity Technologies and Nanomix 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 BioAffinity Technologies with a short position of Nanomix. Check out your portfolio center. Please also check ongoing floating volatility patterns of BioAffinity Technologies and Nanomix.

Diversification Opportunities for BioAffinity Technologies and Nanomix

-0.63

Correlation Coefficient

BioAffinity Technologies  Nanomix

Excellent diversification

The 3 months correlation between BioAffinity and Nanomix is -0.63. Overlapping area represents the amount of risk that can be diversified away by holding bioAffinity Technologies Warra and Nanomix in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nanomix and BioAffinity Technologies 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 bioAffinity Technologies Warrant are associated (or correlated) with Nanomix. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nanomix has no effect on the direction of BioAffinity Technologies i.e., BioAffinity Technologies and Nanomix go up and down completely randomly.

Pair Corralation between BioAffinity Technologies and Nanomix

Assuming the 90 days horizon bioAffinity Technologies Warrant is expected to under-perform the Nanomix. In addition to that, BioAffinity Technologies is 1.33 times more volatile than Nanomix. It trades about 0.0 of its total potential returns per unit of risk. Nanomix is currently generating about 0.13 per unit of volatility. If you would invest  0.01  in Nanomix on September 4, 2024 and sell it today you would earn a total of  0.01  from holding Nanomix or generate 100.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Weak
Accuracy	96.83%
Values	Daily Returns

bioAffinity Technologies Warra  vs.  Nanomix

BioAffinity Technologies

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days bioAffinity Technologies Warrant has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly stable technical and fundamental indicators, BioAffinity Technologies is not utilizing all of its potentials. The current stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

Nanomix

Risk-Adjusted Performance

9 of 100

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Nanomix are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. In spite of fairly uncertain primary indicators, Nanomix showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with BioAffinity Technologies and Nanomix

The main advantage of trading using opposite BioAffinity Technologies and Nanomix positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BioAffinity Technologies position performs unexpectedly, Nanomix 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 Nanomix will offset losses from the drop in Nanomix's long position.

The idea behind bioAffinity Technologies Warrant and Nanomix pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 CEOs Directory module to screen CEOs from public companies around the world.