This module allows you to analyze existing cross correlation between BitTrex Ethereum Classic USD and Cexio Ethereum USD. You can compare the effects of market volatilities on BitTrex Ethereum and Cexio 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 BitTrex Ethereum with a short position of Cexio Ethereum. See also your portfolio center
. Please also check ongoing floating volatility patterns of BitTrex Ethereum
and Cexio Ethereum
BitTrex Ethereum Classic USD vs Cexio Ethereum USD
Assuming 30 trading days horizon, BitTrex Ethereum Classic USD is expected to under-perform the Cexio Ethereum. In addition to that, BitTrex Ethereum is 1.79 times more volatile than Cexio Ethereum USD. It trades about -0.18 of its total potential returns per unit of risk. Cexio Ethereum USD is currently generating about -0.32 per unit of volatility. If you would invest 85,793 in Cexio Ethereum USD on February 22, 2018 and sell it today you would lose (30,854) from holding Cexio Ethereum USD or give up 35.96% of portfolio value over 30 days.
|Time Period||1 Month [change]|
Very poor diversification
Overlapping area represents the amount of risk that can be diversified away by holding BitTrex Ethereum Classic USD and Cexio Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Cexio Ethereum USD and BitTrex 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 BitTrex Ethereum Classic USD are associated (or correlated) with Cexio Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cexio Ethereum USD has no effect on the direction of BitTrex Ethereum i.e. BitTrex Ethereum and Cexio Ethereum go up and down completely randomly.
Over the last 30 days BitTrex Ethereum Classic USD has generated negative risk-adjusted returns adding no value to investors with long positions.
Over the last 30 days Cexio Ethereum USD has generated negative risk-adjusted returns adding no value to investors with long positions.