This module allows you to analyze existing cross correlation between Greece TR and Seoul Comp. You can compare the effects of market volatilities on Greece TR and Seoul Comp 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 Greece TR with a short position of Seoul Comp. See also your portfolio center. Please also check ongoing floating volatility patterns of Greece TR and Seoul Comp.
|Horizon||30 Days Login to change|
Predicted Return Density
Greece TR vs. Seoul Comp
Assuming 30 trading days horizon, Greece TR is expected to generate 2.3 times more return on investment than Seoul Comp. However, Greece TR is 2.3 times more volatile than Seoul Comp. It trades about 0.13 of its potential returns per unit of risk. Seoul Comp is currently generating about -0.21 per unit of risk. If you would invest 50,232 in Greece TR on May 17, 2019 and sell it today you would earn a total of 4,952 from holding Greece TR or generate 9.86% return on investment over 30 days.
Pair Corralation between Greece TR and Seoul Comp
|Time Period||2 Months [change]|
Diversification Opportunities for Greece TR and Seoul Comp
Overlapping area represents the amount of risk that can be diversified away by holding Greece TR and Seoul Comp in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Seoul Comp and Greece TR 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 Greece TR are associated (or correlated) with Seoul Comp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Seoul Comp has no effect on the direction of Greece TR i.e. Greece TR and Seoul Comp 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.