SP 500 owns Efficiency Ratio (i.e. Sharpe Ratio) of -0.0268 which indicates the index had -0.0268% of return per unit of standard deviation over the last 2 months. Macroaxis way of measuring risk of any index is to look at both systematic and un-systematic factors of the business, including all available market data and
technical indicators. S&P 500 exposes twenty-one different
technical indicators which can help you to evaluate volatility that cannot be diversified away. The entity has beta of 0.0 which indicates the returns on MARKET and SP 500 are completely uncorrelated. Even though it is essential to pay attention to
SP 500 current price movements, it is always good to be careful when utilizing equity historical returns. Macroaxis way of measuring future performance of any index is to check both, its past performance charts as well as the business as a whole, including all available
technical indicators. S&P 500 exposes twenty-one different technical indicators which can help you to evaluate its performance.
Almost perfect reverse predictability
S&P 500 has almost perfect reverse predictability. Overlapping area represents the amount of predictability between SP 500 time series from June 19, 2019 to July 19, 2019 and July 19, 2019 to August 18, 2019. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of SP 500 price movement. The serial correlation of -0.8 indicates that around 80.0% of current SP 500 price fluctuation can be explain by its past prices. Given that S&P 500 has negative autocorrelation for selected time horizon, investors may consider taking a contrarian position regarding future price movement of SP 500 for similar time interval.