|
|
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 |
| |
-0.500014 |
| |
-0.500124 |
| |
-0.500138 |
| |
-0.500227 |
| |
-0.500227 |
| |
-0.500241 |
| |
-0.500269 |
| |
-0.500324 |
| |
-0.500374 |
| |
-0.500471 |
| |
-0.500525 |
| |
-0.500702 |
| |
-0.500833 |
| |
-0.500854 |
| |
-0.500872 |
| |
-0.500890 |
| |
-0.501001 |
| |
-0.501276 |
| |
-0.501315 |
| |
-0.501316 |
| |
-0.501462 |
| |
-0.501472 |
| |
-0.501551 |
| |
-0.501763 |
| |
-0.501777 |
|
|
|
|
|
 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.
|
