holds Efficiency (Sharpe) Ratio of 0.0182 which attests that the index had 0.0182% of return per unit of return volatility over the last 3 months. Our approach into determining volatility of an index is to use all available market data together with index specific technical indicators
that cannot be diversified away. We have found twenty-eight technical indicators
for IBEX 35 which you can use to evaluate future volatility of the entity. The entity retains Market Volatility (i.e. Beta) of 0.0 which attests that the returns on MARKET and IBEX 35 are completely uncorrelated. Although it is extremely important to respect IBEX 35
current price history, it is better to be realistic regarding the information on equity current price movements. The approach into determining future performance of any index is to evaluate the business as a whole together with its past performance including all available fundamental and technical indicators
. By inspecting IBEX 35 technical indicators
you can right now evaluate if the expected return of 0.0224% will be sustainable into the future.
IBEX 35 has insignificant predictability. Overlapping area represents the amount of predictability between IBEX 35 time series from July 25, 2019 to September 8, 2019 and September 8, 2019 to October 23, 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 IBEX 35 price movement. The serial correlation of 0.11 indicates that less than 11.0% of current IBEX 35 price fluctuation can be explain by its past prices.