Correlation Analysis Between ATT and Merck

This module allows you to analyze existing cross correlation between ATT and Merck Company. You can compare the effects of market volatilities on ATT and Merck 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 ATT with a short position of Merck. See also your portfolio center. Please also check ongoing floating volatility patterns of ATT and Merck.
Horizon     30 Days    Login   to change
Symbolsvs
Check Efficiency

Comparative Performance

ATT  
1616

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in ATT are ranked lower than 16 (%) of all global equities and portfolios over the last 30 days. In spite of comparatively uncertain essential indicators, ATT unveiled solid returns over the last few months and may actually be approaching a breakup point.
Merck  
33

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Merck Company are ranked lower than 3 (%) of all global equities and portfolios over the last 30 days. Regardless of fairly consistent technical and fundamental indicators, Merck is not utilizing all of its potentials. The ongoing stock price confusion, may contribute to short-horizon losses for the traders.

ATT and Merck Volatility Contrast

 Predicted Return Density 
      Returns 

ATT Inc  vs.  Merck Company Inc

 Performance (%) 
      Timeline 

Pair Volatility

Taking into account the 30 trading days horizon, ATT is expected to generate 0.95 times more return on investment than Merck. However, ATT is 1.05 times less risky than Merck. It trades about 0.25 of its potential returns per unit of risk. Merck Company is currently generating about 0.05 per unit of risk. If you would invest  3,209  in ATT on September 21, 2019 and sell it today you would earn a total of  614.00  from holding ATT or generate 19.13% return on investment over 30 days.

Pair Corralation between ATT and Merck

0.05
Time Period3 Months [change]
DirectionPositive 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Diversification Opportunities for ATT and Merck

ATT Inc diversification synergy

Significant diversification

Overlapping area represents the amount of risk that can be diversified away by holding ATT Inc and Merck Company Inc in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Merck and ATT 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 ATT are associated (or correlated) with Merck. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Merck has no effect on the direction of ATT i.e. ATT and Merck go up and down completely randomly.
See also your portfolio center. Please also try Balance Of Power module to check stock momentum by analyzing balance of power indicator and other technical ratios.


 
Search macroaxis.com