Pair Correlation Between HitBTC NEM and Poloniex Stellar

This module allows you to analyze existing cross correlation between HitBTC NEM USD and Poloniex Stellar USD. You can compare the effects of market volatilities on HitBTC NEM and Poloniex Stellar 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 HitBTC NEM with a short position of Poloniex Stellar. See also your portfolio center. Please also check ongoing floating volatility patterns of HitBTC NEM and Poloniex Stellar.
 Time Horizon     30 Days    Login   to change
Symbolsvs
 HitBTC NEM USD  vs   Poloniex Stellar USD

HitBTC

NEM on HitBTC in USD
 1.17 
(0.01)  0.85%
Market Cap: 21.3 K

Poloniex

Stellar on Poloniex in USD
 0.54 
0.0044  0.83%
Market Cap: 3.3 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, HitBTC NEM is expected to generate 2.3 times less return on investment than Poloniex Stellar. But when comparing it to its historical volatility, HitBTC NEM USD is 1.16 times less risky than Poloniex Stellar. It trades about 0.13 of its potential returns per unit of risk. Poloniex Stellar USD is currently generating about 0.25 of returns per unit of risk over similar time horizon. If you would invest  21  in Poloniex Stellar USD on December 21, 2017 and sell it today you would earn a total of  31.68  from holding Poloniex Stellar USD or generate 150.86% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between HitBTC NEM and Poloniex Stellar
0.87

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthStrong
Accuracy100.0%
ValuesDaily Returns

Diversification

Very poor diversification

Overlapping area represents the amount of risk that can be diversified away by holding HitBTC NEM USD and Poloniex Stellar USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Poloniex Stellar USD and HitBTC NEM 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 HitBTC NEM USD are associated (or correlated) with Poloniex Stellar. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Poloniex Stellar USD has no effect on the direction of HitBTC NEM i.e. HitBTC NEM and Poloniex Stellar go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 

HitBTC NEM USD

  
8 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in HitBTC NEM USD are ranked lower than 8 (%) of all global equities and portfolios over the last 30 days.

HitBTC NEM USD

Pair trading matchups for HitBTC NEM

Poloniex Stellar USD

  
16 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Poloniex Stellar USD are ranked lower than 16 (%) of all global equities and portfolios over the last 30 days.

Poloniex Stellar USD

Pair trading matchups for Poloniex Stellar