Correlation Between Zijin Mining and Elite Color
Specify exactly 2 symbols:
By analyzing existing cross correlation between Zijin Mining Group and Elite Color Environmental, you can compare the effects of market volatilities on Zijin Mining and Elite Color 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 Zijin Mining with a short position of Elite Color. Check out your portfolio center. Please also check ongoing floating volatility patterns of Zijin Mining and Elite Color.
Diversification Opportunities for Zijin Mining and Elite Color
-0.23 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Zijin and Elite is -0.23. Overlapping area represents the amount of risk that can be diversified away by holding Zijin Mining Group and Elite Color Environmental in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Elite Color Environmental and Zijin Mining 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 Zijin Mining Group are associated (or correlated) with Elite Color. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Elite Color Environmental has no effect on the direction of Zijin Mining i.e., Zijin Mining and Elite Color go up and down completely randomly.
Pair Corralation between Zijin Mining and Elite Color
Assuming the 90 days trading horizon Zijin Mining Group is expected to under-perform the Elite Color. But the stock apears to be less risky and, when comparing its historical volatility, Zijin Mining Group is 1.51 times less risky than Elite Color. The stock trades about -0.06 of its potential returns per unit of risk. The Elite Color Environmental is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 527.00 in Elite Color Environmental on September 25, 2024 and sell it today you would earn a total of 99.00 from holding Elite Color Environmental or generate 18.79% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Zijin Mining Group vs. Elite Color Environmental
Performance |
Timeline |
Zijin Mining Group |
Elite Color Environmental |
Zijin Mining and Elite Color Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Zijin Mining and Elite Color
The main advantage of trading using opposite Zijin Mining and Elite Color positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Zijin Mining position performs unexpectedly, Elite Color 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 Elite Color will offset losses from the drop in Elite Color's long position.Zijin Mining vs. Wanhua Chemical Group | Zijin Mining vs. Baoshan Iron Steel | Zijin Mining vs. Shandong Gold Mining | Zijin Mining vs. Rongsheng Petrochemical Co |
Elite Color vs. Chengdu Xingrong Investment | Elite Color vs. Ningxia Younglight Chemicals | Elite Color vs. Shenzhen Centralcon Investment | Elite Color vs. Will Semiconductor Co |
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 Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Other Complementary Tools
Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
Volatility Analysis Get historical volatility and risk analysis based on latest market data |