Correlation Between Lucid and 126307AY3
Specify exactly 2 symbols:
By analyzing existing cross correlation between Lucid Group and CSC Holdings 75, you can compare the effects of market volatilities on Lucid and 126307AY3 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 Lucid with a short position of 126307AY3. Check out your portfolio center. Please also check ongoing floating volatility patterns of Lucid and 126307AY3.
Diversification Opportunities for Lucid and 126307AY3
Very good diversification
The 3 months correlation between Lucid and 126307AY3 is -0.34. Overlapping area represents the amount of risk that can be diversified away by holding Lucid Group and CSC Holdings 75 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CSC Holdings 75 and Lucid 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 Lucid Group are associated (or correlated) with 126307AY3. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CSC Holdings 75 has no effect on the direction of Lucid i.e., Lucid and 126307AY3 go up and down completely randomly.
Pair Corralation between Lucid and 126307AY3
Given the investment horizon of 90 days Lucid Group is expected to generate 1.42 times more return on investment than 126307AY3. However, Lucid is 1.42 times more volatile than CSC Holdings 75. It trades about -0.04 of its potential returns per unit of risk. CSC Holdings 75 is currently generating about -0.44 per unit of risk. If you would invest 221.00 in Lucid Group on September 9, 2024 and sell it today you would lose (12.00) from holding Lucid Group or give up 5.43% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 80.95% |
Values | Daily Returns |
Lucid Group vs. CSC Holdings 75
Performance |
Timeline |
Lucid Group |
CSC Holdings 75 |
Lucid and 126307AY3 Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Lucid and 126307AY3
The main advantage of trading using opposite Lucid and 126307AY3 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Lucid position performs unexpectedly, 126307AY3 can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in 126307AY3 will offset losses from the drop in 126307AY3's long position.The idea behind Lucid Group and CSC Holdings 75 pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.126307AY3 vs. Highway Holdings Limited | 126307AY3 vs. Inflection Point Acquisition | 126307AY3 vs. Vindicator Silver Lead Mining | 126307AY3 vs. Electrovaya Common Shares |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |