|
|
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 |
| |
0.999892 |
| |
0.999045 |
| |
0.998589 |
| |
0.998358 |
| |
0.998065 |
| |
0.997618 |
| |
0.997454 |
| |
0.997433 |
| |
0.997216 |
| |
0.996374 |
| |
0.973688 |
| |
0.970898 |
| |
0.969276 |
| |
0.968999 |
| |
0.968993 |
| |
0.968978 |
| |
0.968946 |
| |
0.967151 |
| |
0.966579 |
| |
0.966039 |
| |
0.965553 |
| |
0.963804 |
| |
0.963684 |
| |
0.963607 |
|
|
|
|
|
 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.
|
