|
|
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 |
| |
-0.501404 |
| |
-0.501512 |
| |
-0.501521 |
| |
-0.501619 |
| |
-0.501631 |
| |
-0.501712 |
| |
-0.501712 |
| |
-0.501715 |
| |
-0.501721 |
| |
-0.501721 |
| |
-0.501785 |
| |
-0.501859 |
| |
-0.501873 |
| |
-0.502162 |
| |
-0.502358 |
| |
-0.502371 |
| |
-0.502444 |
| |
-0.502537 |
| |
-0.502551 |
| |
-0.502644 |
| |
-0.502656 |
| |
-0.502656 |
| |
-0.502823 |
| |
-0.502844 |
| |
-0.502934 |
|
|
|
|
|
 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.
|
