has Sharpe Ratio of 0.0489 which conveys that the entity had 0.0489% of return per unit of risk over the last 2 months. Our philosophy towards estimating volatility of an index is to use all available market data together with index specific technical indicators
that cannot be diversified away. We have found twenty-eight technical indicators
for MerVal which you can use to evaluate future volatility of the organization. The index secures Beta (Market Risk) of 0.0 which conveys that the returns on MARKET and MerVal are completely uncorrelated. Although it is extremely important to respect MerVal price patterns
, it is better to be realistic regarding the information on equity historical price patterns
. The philosophy towards estimating future performance of any index is to evaluate the business as a whole together with its past performance including all available fundamental and technical indicators
. By analyzing MerVal technical indicators
you can presently evaluate if the expected return of 0.1145% will be sustainable into the future.
Very good reverse predictability
MerVal has very good reverse predictability. Overlapping area represents the amount of predictability between MerVal time series from March 25, 2019 to April 24, 2019 and April 24, 2019 to May 24, 2019. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of MerVal price movement. The serial correlation of -0.65 indicates that roughly 65.0% of current MerVal price fluctuation can be explain by its past prices. Given that MerVal has negative autocorrelation for selected time horizon, investors may consider taking a contrarian position regarding future price movement of MerVal for similar time interval.