Correlation Analysis Between Merck and Agilent Technologies

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

Comparative Performance

Merck  
00

Risk-Adjusted Performance

Over the last 30 days Merck Company has generated negative risk-adjusted returns adding no value to investors with long positions. Regardless of fairly consistent technical and fundamental indicators, Merck is not utilizing all of its potentials. The existing stock price confusion, may contribute to short-horizon losses for the traders.
Agilent Technologies  
44

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Agilent Technologies are ranked lower than 4 (%) of all global equities and portfolios over the last 30 days. Despite somewhat fragile basic indicators, Agilent Technologies may actually be approaching a critical reversion point that can send shares even higher in October 2019.

Merck and Agilent Technologies Volatility Contrast

 Predicted Return Density 
      Returns 

Merck Company Inc  vs.  Agilent Technologies Inc

 Performance (%) 
      Timeline 

Pair Volatility

Considering 30-days investment horizon, Merck Company is expected to under-perform the Agilent Technologies. But the stock apears to be less risky and, when comparing its historical volatility, Merck Company is 1.28 times less risky than Agilent Technologies. The stock trades about -0.04 of its potential returns per unit of risk. The Agilent Technologies is currently generating about 0.07 of returns per unit of risk over similar time horizon. If you would invest  7,249  in Agilent Technologies on August 18, 2019 and sell it today you would earn a total of  466.00  from holding Agilent Technologies or generate 6.43% return on investment over 30 days.

Pair Corralation between Merck and Agilent Technologies

0.85
Time Period3 Months [change]
DirectionPositive 
StrengthStrong
Accuracy100.0%
ValuesDaily Returns

Diversification Opportunities for Merck and Agilent Technologies

Merck Company Inc diversification synergy

Very poor diversification

Overlapping area represents the amount of risk that can be diversified away by holding Merck Company Inc and Agilent Technologies Inc in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Agilent Technologies and Merck 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 Merck Company are associated (or correlated) with Agilent Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Agilent Technologies has no effect on the direction of Merck i.e. Merck and Agilent Technologies go up and down completely randomly.
See also your portfolio center. Please also try Commodity Channel Index module to use commodity channel index to analyze current equity momentum.


 
Search macroaxis.com