This module allows you to analyze existing cross correlation between Twitter and NASDAQ UK. You can compare the effects of market volatilities on Twitter and NASDAQ UK 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 Twitter with a short position of NASDAQ UK. See also your portfolio center. Please also check ongoing floating volatility patterns of Twitter and NASDAQ UK.
|Horizon||30 Days Login to change|
Predicted Return Density
Twitter Inc vs. NASDAQ UK
Given the investment horizon of 30 days, Twitter is expected to generate 3.14 times more return on investment than NASDAQ UK. However, Twitter is 3.14 times more volatile than NASDAQ UK. It trades about 0.18 of its potential returns per unit of risk. NASDAQ UK is currently generating about -0.22 per unit of risk. If you would invest 3,475 in Twitter on July 27, 2019 and sell it today you would earn a total of 625.00 from holding Twitter or generate 17.99% return on investment over 30 days.
Pair Corralation between Twitter and NASDAQ UK
|Time Period||2 Months [change]|
Diversification Opportunities for Twitter and NASDAQ UK
Overlapping area represents the amount of risk that can be diversified away by holding Twitter Inc and NASDAQ UK in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on NASDAQ UK and Twitter 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 Twitter are associated (or correlated) with NASDAQ UK. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NASDAQ UK has no effect on the direction of Twitter i.e. Twitter and NASDAQ UK go up and down completely randomly.
See also your portfolio center. Please also try Cryptocurrency Correlation module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins and exchanges.