Correlation Between CNOOC and Anhui Gujing
Specify exactly 2 symbols:
By analyzing existing cross correlation between CNOOC Limited and Anhui Gujing Distillery, you can compare the effects of market volatilities on CNOOC and Anhui Gujing 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 CNOOC with a short position of Anhui Gujing. Check out your portfolio center. Please also check ongoing floating volatility patterns of CNOOC and Anhui Gujing.
Diversification Opportunities for CNOOC and Anhui Gujing
0.26 | Correlation Coefficient |
Modest diversification
The 3 months correlation between CNOOC and Anhui is 0.26. Overlapping area represents the amount of risk that can be diversified away by holding CNOOC Limited and Anhui Gujing Distillery in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anhui Gujing Distillery and CNOOC 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 CNOOC Limited are associated (or correlated) with Anhui Gujing. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anhui Gujing Distillery has no effect on the direction of CNOOC i.e., CNOOC and Anhui Gujing go up and down completely randomly.
Pair Corralation between CNOOC and Anhui Gujing
Assuming the 90 days trading horizon CNOOC is expected to generate 1.23 times less return on investment than Anhui Gujing. But when comparing it to its historical volatility, CNOOC Limited is 1.72 times less risky than Anhui Gujing. It trades about 0.06 of its potential returns per unit of risk. Anhui Gujing Distillery is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 16,778 in Anhui Gujing Distillery on September 26, 2024 and sell it today you would earn a total of 837.00 from holding Anhui Gujing Distillery or generate 4.99% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Very Weak |
Accuracy | 100.0% |
Values | Daily Returns |
CNOOC Limited vs. Anhui Gujing Distillery
Performance |
Timeline |
CNOOC Limited |
Anhui Gujing Distillery |
CNOOC and Anhui Gujing Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with CNOOC and Anhui Gujing
The main advantage of trading using opposite CNOOC and Anhui Gujing positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CNOOC position performs unexpectedly, Anhui Gujing 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 Anhui Gujing will offset losses from the drop in Anhui Gujing's long position.CNOOC vs. Jiangxi Hengda Hi Tech | CNOOC vs. Guangdong Shenglu Telecommunication | CNOOC vs. Xiangyang Automobile Bearing | CNOOC vs. Guangzhou Automobile Group |
Anhui Gujing vs. PetroChina Co Ltd | Anhui Gujing vs. China Mobile Limited | Anhui Gujing vs. CNOOC Limited | Anhui Gujing vs. Ping An Insurance |
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 Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Other Complementary Tools
Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |