Energy Select Sector Etf Market Value
| XLE Etf | USD 96.19 0.07 0.07% |
| Symbol | Energy |
The market value of Energy Select Sector is measured differently than its book value, which is the value of Energy that is recorded on the company's balance sheet. Investors also form their own opinion of Energy Select's value that differs from its market value or its book value, called intrinsic value, which is Energy Select's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Energy Select's market value can be influenced by many factors that don't directly affect Energy Select's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Energy Select's value and its price as these two are different measures arrived at by different means. Investors typically determine if Energy Select is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Energy Select's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Energy Select 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Energy Select's etf what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Energy Select.
| 03/26/2024 |
| 04/25/2024 |
If you would invest 0.00 in Energy Select on March 26, 2024 and sell it all today you would earn a total of 0.00 from holding Energy Select Sector or generate 0.0% return on investment in Energy Select over 30 days. Energy Select is related to or competes with Vanguard Financials, Vanguard Health, Vanguard Utilities, Vanguard Materials, and Vanguard Consumer. In seeking to track the performance of the index, the fund employs a replication strategy More
Energy Select Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Energy Select's etf current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Energy Select Sector upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 0.7947 | |||
| Information Ratio | 0.2142 | |||
| Maximum Drawdown | 4.41 | |||
| Value At Risk | (1.06) | |||
| Potential Upside | 1.6 |
Energy Select Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Energy Select's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Energy Select's standard deviation. In reality, there are many statistical measures that can use Energy Select historical prices to predict the future Energy Select's volatility.| Risk Adjusted Performance | 0.2034 | |||
| Jensen Alpha | 0.2508 | |||
| Total Risk Alpha | 0.1541 | |||
| Sortino Ratio | 0.2395 | |||
| Treynor Ratio | 0.9452 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Energy Select's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Energy Select Sector Backtested Returns
Energy Select appears to be very steady, given 3 months investment horizon. Energy Select Sector secures Sharpe Ratio (or Efficiency) of 0.26, which denotes the etf had a 0.26% return per unit of risk over the last 3 months. We have found twenty-eight technical indicators for Energy Select Sector, which you can use to evaluate the volatility of the entity. Please utilize Energy Select's Mean Deviation of 0.6879, coefficient of variation of 311.11, and Downside Deviation of 0.7947 to check if our risk estimates are consistent with your expectations. The etf shows a Beta (market volatility) of 0.29, which means not very significant fluctuations relative to the market. As returns on the market increase, Energy Select's returns are expected to increase less than the market. However, during the bear market, the loss of holding Energy Select is expected to be smaller as well.
Auto-correlation | -0.49 |
Modest reverse predictability
Energy Select Sector has modest reverse predictability. Overlapping area represents the amount of predictability between Energy Select time series from 26th of March 2024 to 10th of April 2024 and 10th of April 2024 to 25th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Energy Select Sector price movement. The serial correlation of -0.49 indicates that about 49.0% of current Energy Select price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.49 | |
| Spearman Rank Test | 0.06 | |
| Residual Average | 0.0 | |
| Price Variance | 1.47 |
Energy Select Sector lagged returns against current returns
Autocorrelation, which is Energy Select etf's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Energy Select's etf expected returns. We can calculate the autocorrelation of Energy Select returns to help us make a trade decision. For example, suppose you find that Energy Select has exhibited high autocorrelation historically, and you observe that the etf is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Energy Select regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Energy Select etf is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Energy Select etf is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Energy Select etf over time.
Current vs Lagged Prices |
| Timeline |
Energy Select Lagged Returns
When evaluating Energy Select's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Energy Select etf have on its future price. Energy Select autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Energy Select autocorrelation shows the relationship between Energy Select etf current value and its past values and can show if there is a momentum factor associated with investing in Energy Select Sector.
Regressed Prices |
| Timeline |
Energy Select Implied Volatility | 29.39 |
Energy Select's implied volatility exposes the market's sentiment of Energy Select Sector stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Energy Select's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Energy Select stock will not fluctuate a lot when Energy Select's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Energy Select in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Energy Select's short interest history, or implied volatility extrapolated from Energy Select options trading.
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.When determining whether Energy Select Sector is a strong investment it is important to analyze Energy Select's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Energy Select's future performance. For an informed investment choice regarding Energy Etf, refer to the following important reports:Check out Energy Select Correlation, Energy Select Volatility and Energy Select Alpha and Beta module to complement your research on Energy Select. You can also try the Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Energy Select technical etf analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, etf market cycles, or different charting patterns.