DMC Mining (Australia) Market Value

Symbol

DMC

In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to DMC Mining's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of DMC Mining.

DMC Mining Upside/Downside Indicators

DMC Mining Market Risk Indicators

Today, many novice investors tend to focus exclusively on investment returns with little concern for DMC Mining's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as DMC Mining's standard deviation. In reality, there are many statistical measures that can use DMC Mining historical prices to predict the future DMC Mining's volatility.

Autocorrelation, which is DMC Mining stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting DMC Mining's stock expected returns. We can calculate the autocorrelation of DMC Mining returns to help us make a trade decision. For example, suppose you find that DMC Mining has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.

Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If DMC Mining stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if DMC Mining stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in DMC Mining stock over time.

When evaluating DMC Mining's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of DMC Mining stock have on its future price. DMC Mining autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, DMC Mining autocorrelation shows the relationship between DMC Mining stock current value and its past values and can show if there is a momentum factor associated with investing in DMC Mining.

When running DMC Mining's price analysis, check to measure DMC Mining's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy DMC Mining is operating at the current time. Most of DMC Mining's value examination focuses on studying past and present price action to predict the probability of DMC Mining's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move DMC Mining's price. Additionally, you may evaluate how the addition of DMC Mining to your portfolios can decrease your overall portfolio volatility.