Correlation Analysis Between Home Depot and XU100

This module allows you to analyze existing cross correlation between Home Depot and XU100. You can compare the effects of market volatilities on Home Depot and XU100 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 Home Depot with a short position of XU100. See also your portfolio center. Please also check ongoing floating volatility patterns of Home Depot and XU100.
Horizon     30 Days    Login   to change
Symbolsvs
Check Efficiency

Comparative Performance

 Predicted Return Density 
      Returns 

Home Depot Inc  vs.  XU100

 Performance (%) 
      Timeline 

Pair Volatility

Allowing for the 30-days total investment horizon, Home Depot is expected to generate 0.98 times more return on investment than XU100. However, Home Depot is 1.02 times less risky than XU100. It trades about 0.08 of its potential returns per unit of risk. XU100 is currently generating about 0.03 per unit of risk. If you would invest  20,474  in Home Depot on July 25, 2019 and sell it today you would earn a total of  918.00  from holding Home Depot or generate 4.48% return on investment over 30 days.

Pair Corralation between Home Depot and XU100

0.27
Time Period2 Months [change]
DirectionPositive 
StrengthVery Weak
Accuracy95.45%
ValuesDaily Returns

Diversification Opportunities for Home Depot and XU100

Home Depot Inc diversification synergy

Modest diversification

Overlapping area represents the amount of risk that can be diversified away by holding Home Depot Inc and XU100 in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on XU100 and Home Depot 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 Home Depot are associated (or correlated) with XU100. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of XU100 has no effect on the direction of Home Depot i.e. Home Depot and XU100 go up and down completely randomly.
    Optimize
See also your portfolio center. Please also try Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.


 
Search macroaxis.com