This module allows you to analyze existing cross correlation between Poloniex Stellar USD and HitBTC ZCash USD. You can compare the effects of market volatilities on Poloniex Stellar and HitBTC ZCash 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 Poloniex Stellar with a short position of HitBTC ZCash. See also your portfolio center
. Please also check ongoing floating volatility patterns of Poloniex Stellar
and HitBTC ZCash
Poloniex Stellar USD vs HitBTC ZCash USD
Assuming 30 trading days horizon, Poloniex Stellar USD is expected to generate 1.36 times more return on investment than HitBTC ZCash. However, Poloniex Stellar is 1.36 times more volatile than HitBTC ZCash USD. It trades about -0.17 of its potential returns per unit of risk. HitBTC ZCash USD is currently generating about -0.28 per unit of risk. If you would invest 41.16 in Poloniex Stellar USD on February 19, 2018 and sell it today you would lose (14.89) from holding Poloniex Stellar USD or give up 36.18% of portfolio value over 30 days.
|Time Period||1 Month [change]|
Almost no diversification
Overlapping area represents the amount of risk that can be diversified away by holding Poloniex Stellar USD and HitBTC ZCash USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on HitBTC ZCash USD and Poloniex Stellar 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 Poloniex Stellar USD are associated (or correlated) with HitBTC ZCash. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HitBTC ZCash USD has no effect on the direction of Poloniex Stellar i.e. Poloniex Stellar and HitBTC ZCash go up and down completely randomly.
Over the last 30 days Poloniex Stellar USD has generated negative risk-adjusted returns adding no value to investors with long positions.
Over the last 30 days HitBTC ZCash USD has generated negative risk-adjusted returns adding no value to investors with long positions.