Elvis Picardo is a regular contributor to Investopedia and has 25+ years of experience as a portfolio manager with diverse capital markets experience. Yarilet Perez is an experienced multimedia ...

The correlation function is a useful signal-analysis tool that engineers often overlook. Its formidable equation, which you have probably not thought about since your undergraduate signals and systems ...

What Is the Correlation Coefficient? The correlation coefficient is a metric that measures the strength and direction of a relationship between two securities or variables, such as a stock and a ...

In the first case, there is a strong upward-sloping relationship between X and Y; in the second case, no apparent relationship; in the third case, a strong downward-sloping relationship. Note the ...

Correlation analysis in portfolio management design is overrated. There isn’t much benefit derived from relying on low correlation among asset classes to achieve excess return. The best way to use ...

The correlation of bitcoin BTC $115,255.52 and ether (ETH) to the U.S. Dollar Index (DXY) has once again turned negative. BTC’s correlation coefficient to the DXY has fallen to -0.36, after moving as ...

Bitcoin (BTC) has historically moved in the opposite direction of the U.S. Dollar Index (DXY), which gauges the greenback's exchange rate against major fiat currencies, including the euro. The ...