This module allows you to analyze existing cross correlation between Quoine Ethereum USD and LiveCoin Ethereum USD. You can compare the effects of market volatilities on Quoine Ethereum and LiveCoin 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 Quoine Ethereum with a short position of LiveCoin Ethereum. See also your portfolio center
. Please also check ongoing floating volatility patterns of Quoine Ethereum
and LiveCoin Ethereum
Quoine Ethereum USD vs LiveCoin Ethereum USD
Assuming 30 trading days horizon, Quoine Ethereum USD is expected to generate 1.25 times more return on investment than LiveCoin Ethereum. However, Quoine Ethereum is 1.25 times more volatile than LiveCoin Ethereum USD. It trades about -0.23 of its potential returns per unit of risk. LiveCoin Ethereum USD is currently generating about -0.34 per unit of risk. If you would invest 79,850 in Quoine Ethereum USD on February 21, 2018 and sell it today you would lose (25,651) from holding Quoine Ethereum USD or give up 32.12% of portfolio value over 30 days.
|Time Period||1 Month [change]|
Almost no diversification
Overlapping area represents the amount of risk that can be diversified away by holding Quoine Ethereum USD and LiveCoin Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on LiveCoin Ethereum USD and Quoine 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 Quoine Ethereum USD are associated (or correlated) with LiveCoin Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LiveCoin Ethereum USD has no effect on the direction of Quoine Ethereum i.e. Quoine Ethereum and LiveCoin Ethereum go up and down completely randomly.
Over the last 30 days Quoine Ethereum USD has generated negative risk-adjusted returns adding no value to investors with long positions.
Over the last 30 days LiveCoin Ethereum USD has generated negative risk-adjusted returns adding no value to investors with long positions.