|
|
Correlation analysis helps identify the relationship between two or more companies, showing how they move about each other. It helps assess patterns, manage risk, and improve decision-making by revealing which assets correlate positively or negatively.
|
|
|
|
| Symbol | Correlation |
| |
1.000000 |
| |
0.999960 |
| |
0.997870 |
| |
0.996269 |
| |
0.996017 |
| |
0.992978 |
| |
0.975435 |
| |
0.894007 |
| |
0.891546 |
| |
0.890847 |
| |
0.890807 |
| |
0.890804 |
| |
0.889324 |
| |
0.889324 |
| |
0.878947 |
| |
0.877689 |
| |
0.875715 |
| |
0.870745 |
| |
0.868944 |
| |
0.861953 |
| |
0.861287 |
| |
0.859641 |
| |
0.859641 |
| |
0.858368 |
| |
0.857818 |
|
|
|
|
|
 Stock Correlation - Explanation
Stock Correlation is the statistical measure of the relationship between two stocks. The correlation coefficient ranges between -1 and +1. A correlation of +1 implies that the two stocks will move in the same direction 100% of the time. A correlation of -1 implies the two stocks will move in the opposite direction 100% of the time. A correlation of zero implies that the relationship between the stocks is completely random. Correlations do not always remain stable and can even change on a daily basis. Correlation analysis can help you to diversify your positions. An imperfect correlation between two different stocks allows for more diversification and marginally lower risk.
|
