Correlation Between United Airlines and Mineral Mountain

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Can any of the company-specific risk be diversified away by investing in both United Airlines and Mineral Mountain 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 United Airlines and Mineral Mountain into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between United Airlines Holdings and Mineral Mountain Mining, you can compare the effects of market volatilities on United Airlines and Mineral Mountain 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 United Airlines with a short position of Mineral Mountain. Check out your portfolio center. Please also check ongoing floating volatility patterns of United Airlines and Mineral Mountain.

Diversification Opportunities for United Airlines and Mineral Mountain

0.0
  Correlation Coefficient

Pay attention - limited upside

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

Pair Corralation between United Airlines and Mineral Mountain

If you would invest  9,743  in United Airlines Holdings on September 8, 2025 and sell it today you would earn a total of  752.00  from holding United Airlines Holdings or generate 7.72% return on investment over 90 days.
Time Period3 Months [change]
DirectionFlat 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

United Airlines Holdings  vs.  Mineral Mountain Mining

 Performance 
       Timeline  
United Airlines Holdings 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days United Airlines Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent basic indicators, United Airlines is not utilizing all of its potentials. The latest stock price mess, may contribute to short-term losses for the institutional investors.
Mineral Mountain Mining 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Mineral Mountain Mining has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy primary indicators, Mineral Mountain is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

United Airlines and Mineral Mountain Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with United Airlines and Mineral Mountain

The main advantage of trading using opposite United Airlines and Mineral Mountain positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if United Airlines position performs unexpectedly, Mineral Mountain 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 Mineral Mountain will offset losses from the drop in Mineral Mountain's long position.
The idea behind United Airlines Holdings and Mineral Mountain Mining 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 Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.

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