Correlation Between Jiangsu Xinning and Xinya Electronic
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jiangsu Xinning Modern and Xinya Electronic Co, you can compare the effects of market volatilities on Jiangsu Xinning and Xinya Electronic 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 Jiangsu Xinning with a short position of Xinya Electronic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jiangsu Xinning and Xinya Electronic.
Diversification Opportunities for Jiangsu Xinning and Xinya Electronic
0.83 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Jiangsu and Xinya is 0.83. Overlapping area represents the amount of risk that can be diversified away by holding Jiangsu Xinning Modern and Xinya Electronic Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinya Electronic and Jiangsu Xinning 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 Jiangsu Xinning Modern are associated (or correlated) with Xinya Electronic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinya Electronic has no effect on the direction of Jiangsu Xinning i.e., Jiangsu Xinning and Xinya Electronic go up and down completely randomly.
Pair Corralation between Jiangsu Xinning and Xinya Electronic
Assuming the 90 days trading horizon Jiangsu Xinning Modern is expected to generate 1.54 times more return on investment than Xinya Electronic. However, Jiangsu Xinning is 1.54 times more volatile than Xinya Electronic Co. It trades about 0.22 of its potential returns per unit of risk. Xinya Electronic Co is currently generating about 0.18 per unit of risk. If you would invest 239.00 in Jiangsu Xinning Modern on September 24, 2024 and sell it today you would earn a total of 168.00 from holding Jiangsu Xinning Modern or generate 70.29% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Jiangsu Xinning Modern vs. Xinya Electronic Co
Performance |
Timeline |
Jiangsu Xinning Modern |
Xinya Electronic |
Jiangsu Xinning and Xinya Electronic Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Jiangsu Xinning and Xinya Electronic
The main advantage of trading using opposite Jiangsu Xinning and Xinya Electronic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jiangsu Xinning position performs unexpectedly, Xinya Electronic 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 Xinya Electronic will offset losses from the drop in Xinya Electronic's long position.Jiangsu Xinning vs. Hefei Metalforming Mach | Jiangsu Xinning vs. ZYF Lopsking Aluminum | Jiangsu Xinning vs. Tianshan Aluminum Group | Jiangsu Xinning vs. Zhuhai Comleader Information |
Xinya Electronic vs. Kweichow Moutai Co | Xinya Electronic vs. Contemporary Amperex Technology | Xinya Electronic vs. G bits Network Technology | Xinya Electronic vs. BYD Co Ltd |
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Other Complementary Tools
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |