Correlation Between Qingdao Foods and Jiangsu Yueda
Specify exactly 2 symbols:
By analyzing existing cross correlation between Qingdao Foods Co and Jiangsu Yueda Investment, you can compare the effects of market volatilities on Qingdao Foods and Jiangsu Yueda 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 Qingdao Foods with a short position of Jiangsu Yueda. Check out your portfolio center. Please also check ongoing floating volatility patterns of Qingdao Foods and Jiangsu Yueda.
Diversification Opportunities for Qingdao Foods and Jiangsu Yueda
0.93 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Qingdao and Jiangsu is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding Qingdao Foods Co and Jiangsu Yueda Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jiangsu Yueda Investment and Qingdao Foods 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 Qingdao Foods Co are associated (or correlated) with Jiangsu Yueda. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jiangsu Yueda Investment has no effect on the direction of Qingdao Foods i.e., Qingdao Foods and Jiangsu Yueda go up and down completely randomly.
Pair Corralation between Qingdao Foods and Jiangsu Yueda
Assuming the 90 days trading horizon Qingdao Foods Co is expected to generate 1.09 times more return on investment than Jiangsu Yueda. However, Qingdao Foods is 1.09 times more volatile than Jiangsu Yueda Investment. It trades about 0.12 of its potential returns per unit of risk. Jiangsu Yueda Investment is currently generating about 0.12 per unit of risk. If you would invest 1,115 in Qingdao Foods Co on September 25, 2024 and sell it today you would earn a total of 262.00 from holding Qingdao Foods Co or generate 23.5% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Very Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Qingdao Foods Co vs. Jiangsu Yueda Investment
Performance |
Timeline |
Qingdao Foods |
Jiangsu Yueda Investment |
Qingdao Foods and Jiangsu Yueda Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Qingdao Foods and Jiangsu Yueda
The main advantage of trading using opposite Qingdao Foods and Jiangsu Yueda positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Qingdao Foods position performs unexpectedly, Jiangsu Yueda 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 Jiangsu Yueda will offset losses from the drop in Jiangsu Yueda's long position.Qingdao Foods vs. Ming Yang Smart | Qingdao Foods vs. 159681 | Qingdao Foods vs. 159005 | Qingdao Foods vs. Loctek Ergonomic Technology |
Jiangsu Yueda vs. Zhongyin Babi Food | Jiangsu Yueda vs. Eastroc Beverage Group | Jiangsu Yueda vs. Qingdao Foods Co | Jiangsu Yueda vs. Jiahe Foods Industry |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
Volatility Analysis Get historical volatility and risk analysis based on latest market data |