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Negative correlation is a relationship between two variables in which one variable increases as the other decreases, and vice versa. ... In a line graph, you would see a downward slope.
Pearson coefficients range from +1 to -1, with +1 representing a positive correlation, -1 representing a negative correlation, and 0 representing no relationship.
Negative correlation is also called inverse correlation, ... In a line graph, you would see a downward slope. In economics, price and quantity are generally negatively correlated on a demand curve.
The graph shows a negative correlation. The vertical scale is going up in increments of 50. Between each multiple of 50 are ten subdivisions. Each subdivision is worth 5 minutes.
Rather it only passes through that number on a rare occasion as it swings from positive correlation to negative and back again. Figure 1 illustrates this phenomenon using rolling 5-year correlations.
Correlation coefficients can mean a positive, negative, or no relationship between two variables. Use correlation coefficients to help pick securities for your portfolio.