This module allows you to analyze existing cross correlation between LiveCoin Ethereum USD and Kraken Ethereum USD. You can compare the effects of market volatilities on LiveCoin Ethereum and Kraken Ethereum 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 LiveCoin Ethereum with a short position of Kraken Ethereum. See also your portfolio center. Please also check ongoing floating volatility patterns of LiveCoin Ethereum and Kraken Ethereum.
Assuming 30 trading days horizon, LiveCoin Ethereum USD is expected to generate 0.68 times more return on investment than Kraken Ethereum. However, LiveCoin Ethereum USD is 1.46 times less risky than Kraken Ethereum. It trades about -0.28 of its potential returns per unit of risk. Kraken Ethereum USD is currently generating about -0.3 per unit of risk. If you would invest 45,855 in LiveCoin Ethereum USD on July 21, 2018 and sell it today you would lose (14,649) from holding LiveCoin Ethereum USD or give up 31.95% of portfolio value over 30 days.
Pair Corralation between LiveCoin Ethereum and Kraken Ethereum
Overlapping area represents the amount of risk that can be diversified away by holding LiveCoin Ethereum USD and Kraken Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Kraken Ethereum USD and LiveCoin Ethereum 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 LiveCoin Ethereum USD are associated (or correlated) with Kraken Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kraken Ethereum USD has no effect on the direction of LiveCoin Ethereum i.e. LiveCoin Ethereum and Kraken Ethereum go up and down completely randomly.
Build portfolios using Macroaxis predefined set of investing ideas. Many of Macroaxis investing ideas can easily outperform a given market. Ideas can also be optimized per your risk profile before portfolio origination is invoked.