Correlation Analysis Between DOW and INGEN TECHNOLOGIES

Analyzing existing cross correlation between DOW and INGEN TECHNOLOGIES INC. You can compare the effects of market volatilities on DOW and INGEN TECHNOLOGIES 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 DOW with a short position of INGEN TECHNOLOGIES. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and INGEN TECHNOLOGIES.
Horizon     30 Days    Login   to change
Symbolsvs
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Comparative Performance

 Predicted Return Density 
    
  Returns 

DOW  vs.  INGEN TECHNOLOGIES INC

 Performance (%) 
    
  Timeline 

Pair Volatility

Given the investment horizon of 30 days, DOW is expected to generate 32.82 times less return on investment than INGEN TECHNOLOGIES. But when comparing it to its historical volatility, DOW is 64.59 times less risky than INGEN TECHNOLOGIES. It trades about 0.31 of its potential returns per unit of risk. INGEN TECHNOLOGIES INC is currently generating about 0.16 of returns per unit of risk over similar time horizon. If you would invest  0.01  in INGEN TECHNOLOGIES INC on December 18, 2019 and sell it today you would earn a total of  0.01  from holding INGEN TECHNOLOGIES INC or generate 100.0% return on investment over 30 days.

Pair Corralation between DOW and INGEN TECHNOLOGIES

0.58
Time Period3 Months [change]
DirectionPositive 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

Diversification Opportunities for DOW and INGEN TECHNOLOGIES

DOW diversification synergy

Very weak diversification

Overlapping area represents the amount of risk that can be diversified away by holding DOW and INGEN TECHNOLOGIES INC in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on INGEN TECHNOLOGIES INC and DOW 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 DOW are associated (or correlated) with INGEN TECHNOLOGIES. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of INGEN TECHNOLOGIES INC has no effect on the direction of DOW i.e. DOW and INGEN TECHNOLOGIES go up and down completely randomly.
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