Correlation Coefficient

What Does Correlation Coefficient Mean?
A measure that determines the degree to which two variable's movements are associated.

The correlation coefficient is calculated as:

Investopedia explains Correlation Coefficient
The correlation coefficient will vary from -1 to +1. A -1 indicates perfect negative correlation, and +1 indicates perfect positive correlation.

Related Terms

Autocorrelation
Coefficient of Variation
Copula
Correlation
Covariance
Information Coefficient - IC
Pearson Coefficient
Recoupling
Statistically Significant
More Related Terms

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