Pair Correlation Between Kraken Monero and HitBTC DigitalCash

This module allows you to analyze existing cross correlation between Kraken Monero USD and HitBTC DigitalCash USD. You can compare the effects of market volatilities on Kraken Monero and HitBTC DigitalCash 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 Kraken Monero with a short position of HitBTC DigitalCash. See also your portfolio center. Please also check ongoing floating volatility patterns of Kraken Monero and HitBTC DigitalCash.
 Time Horizon     30 Days    Login   to change
Symbolsvs
 Kraken Monero USD  vs   HitBTC DigitalCash USD

Kraken

Monero on Kraken in USD
 350 
(80.11)  18.63%
Market Cap: 859.8 M

HitBTC

DigitalCash on HitBTC in USD
 785.91 
(129.22)  14.12%
Market Cap: 3.5 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Kraken Monero USD is expected to generate 0.9 times more return on investment than HitBTC DigitalCash. However, Kraken Monero USD is 1.11 times less risky than HitBTC DigitalCash. It trades about 0.11 of its potential returns per unit of risk. HitBTC DigitalCash USD is currently generating about -0.05 per unit of risk. If you would invest  36,646  in Kraken Monero USD on December 17, 2017 and sell it today you would earn a total of  6,365  from holding Kraken Monero USD or generate 17.37% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Kraken Monero and HitBTC DigitalCash
-0.16

Parameters

Time Period1 Month [change]
DirectionNegative 
StrengthInsignificant
Accuracy96.77%
ValuesDaily Returns

Diversification

Good diversification

Overlapping area represents the amount of risk that can be diversified away by holding Kraken Monero USD and HitBTC DigitalCash USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on HitBTC DigitalCash USD and Kraken Monero 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 Kraken Monero USD are associated (or correlated) with HitBTC DigitalCash. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HitBTC DigitalCash USD has no effect on the direction of Kraken Monero i.e. Kraken Monero and HitBTC DigitalCash go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 

Kraken Monero USD

  
6 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Kraken Monero USD are ranked lower than 6 (%) of all global equities and portfolios over the last 30 days.

HitBTC DigitalCash USD

  
0 

Risk-Adjusted Performance

Over the last 30 days HitBTC DigitalCash USD has generated negative risk-adjusted returns adding no value to investors with long positions.