|
|
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 |
| |
0.999997 |
| |
0.998561 |
| |
0.998416 |
| |
0.998132 |
| |
0.998061 |
| |
0.996078 |
| |
0.995793 |
| |
0.995071 |
| |
0.992951 |
| |
0.981820 |
| |
0.981246 |
| |
0.969905 |
| |
0.969519 |
| |
0.969224 |
| |
0.966585 |
| |
0.965911 |
| |
0.965074 |
| |
0.963508 |
| |
0.963384 |
| |
0.963329 |
| |
0.962581 |
| |
0.962457 |
| |
0.962457 |
| |
0.960161 |
|
|
|
|
|
 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.
|
