|
|
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 |
| |
0.501367 |
| |
0.500958 |
| |
0.500938 |
| |
0.500846 |
| |
0.500828 |
| |
0.500819 |
| |
0.500747 |
| |
0.500568 |
| |
0.500568 |
| |
0.500511 |
| |
0.500266 |
| |
0.500200 |
| |
0.500200 |
| |
0.500194 |
| |
0.499991 |
| |
0.499906 |
| |
0.499749 |
| |
0.499680 |
| |
0.499680 |
| |
0.499661 |
| |
0.499645 |
| |
0.499634 |
| |
0.499619 |
| |
0.499544 |
| |
0.499529 |
|
|
|
|
|
 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.
|
