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Stock Correlation Analysis With Google Sheets

Correlation is a statistical relationship that measures how related the movement of one variable is compared to another variable. For example, stock prices fluctuate over time and are correlated accordingly or inversely to one another. Understanding stock correlation and being able to perform analysis are very helpful in managing a stock portfolio investment. In this post, we will look at how to perform stock correlation analysis with Google Sheets. Understanding correlation and its applications in stock investing Stock correlation analysis with Google Sheets Getting started User guide Conclusion Disclaimer Understanding correlation and its applications in stock investing The most familiar correlation measure is the Pearson product-moment correlation coefficient . The strength of the relationship between two variables is expressed numerically between -1 and 1. For example: Two stocks are positively correlated when their prices always go up or go down together. Their co