This module allows you to analyze existing cross correlation between DOW and United States 3x Oil. You can compare the effects of market volatilities on DOW and United States 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 DOW with a short position of United States. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and United States.
|Time Horizon||30 Days Login to change|
DOW vs. United States 3x Oil
Given the investment horizon of 30 days, DOW is expected to under-perform the United States. But the index apears to be less risky and, when comparing its historical volatility, DOW is 3.6 times less risky than United States. The index trades about -0.02 of its potential returns per unit of risk. The United States 3x Oil is currently generating about 0.15 of returns per unit of risk over similar time horizon. If you would invest 4,787 in United States 3x Oil on March 21, 2018 and sell it today you would earn a total of 1,469 from holding United States 3x Oil or generate 30.68% return on investment over 30 days.