Correlation Between Taoping and Santo Mining

Can any of the company-specific risk be diversified away by investing in both Taoping and Santo Mining at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Taoping and Santo Mining into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Taoping and Santo Mining Corp, you can compare the effects of market volatilities on Taoping and Santo Mining 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 Taoping with a short position of Santo Mining. Check out your portfolio center. Please also check ongoing floating volatility patterns of Taoping and Santo Mining.

Diversification Opportunities for Taoping and Santo Mining

0.0

Correlation Coefficient

Taoping  Santo Mining

Pay attention - limited upside

The 3 months correlation between Taoping and Santo is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Taoping and Santo Mining Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Santo Mining Corp and Taoping 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 Taoping are associated (or correlated) with Santo Mining. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Santo Mining Corp has no effect on the direction of Taoping i.e., Taoping and Santo Mining go up and down completely randomly.

Pair Corralation between Taoping and Santo Mining

If you would invest  596.00  in Taoping on May 7, 2025 and sell it today you would lose (211.00) from holding Taoping or give up 35.4% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	1.61%
Values	Daily Returns

Taoping  vs.  Santo Mining Corp

Taoping

Risk-Adjusted Performance

Weakest

Over the last 90 days Taoping has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively uncertain basic indicators, Taoping may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Santo Mining Corp

Risk-Adjusted Performance

Weakest

Over the last 90 days Santo Mining Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, Santo Mining is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Taoping and Santo Mining

The main advantage of trading using opposite Taoping and Santo Mining positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Taoping position performs unexpectedly, Santo Mining 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 Santo Mining will offset losses from the drop in Santo Mining's long position.

The idea behind Taoping and Santo Mining Corp 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.

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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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.