Correlations Analysis

Understand how your selected symbol moves with the market.

The Correlation feature on iYurek helps you measure the strength and alignment of your symbol compared to its top 40 correlated assets — 20 positive and 20 negative.
Quickly see whether your symbol is moving with or against related assets, and whether those relationships are strengthening or weakening over time.

Use correlation analysis to:

• Identify emerging market trends

• Detect early signs of reversals

• Improve portfolio diversification

• Manage trading risks more effectively

You can filter by short, medium, or long-term timeframes to align insights with your trading strategy.
Get a clearer view of market dynamics and make better-informed decisions with iYurek’s Correlation feature.

What is Correlation?

The Correlation allows you to examine how your selected symbol correlates with others in the market. It provides critical insights into:

• Positive Correlations: Indicates how closely the price of the selected symbol moves in the same direction as other assets.
• Negative Correlations: Shows how the price of the selected symbol moves in the opposite direction of other assets.
• Aggregate Correlation: Combines both positive and negative correlations to offer a more balanced view of the overall trend within the selected instrument’s ecosystem.

Additionally, you can filter correlations by short, medium, or long-term to better understand how these relationships evolve over time, enabling you to make more informed trading decisions.

How to Use Correlation

Step 1: Select Your Symbol

Choose the symbol you wish to analyze, and the Correlation feature will provide a detailed analysis of the trend strength of your chosen symbol against its top 40 correlations (20 negative and 20 positive).

Step 2: Explore Positive, Negative, and Aggregate Correlations

• Positive Correlations: iYurek helps you track the top 20 instruments that typically move in the same direction as your selected symbol. This helps you spot market trends, find related opportunities, and measure the prevailing strength. When positive correlations dominate, it usually signals a bullish trend.
• Negative Correlations: Track the top 20 instruments that typically move in the opposite direction of your selected symbol. Negative correlations help with risk management (hedging), portfolio diversification, and assessing whether the prevailing strength is bearish or downward.
• Aggregate Correlations: Get a holistic view of how the symbol interacts with its top 40 correlations, combining (Aggregate) 20 positive and 20 negative correlations to reveal their direction and understand whether the prevailing trend is bullish or bearish.

Step 3: Apply the Filters

• Short, Medium, and Long-Term Filters: Tailor your analysis based on your trading strategy. Whether you’re looking for quick-term trends (short-term), more sustained movements (medium-term), or long-term market relationships, the filter options allow you to adjust your focus to match your goals.
• Time Range (5 Days, 1 Month, 3 Months): Choose the time range that best suits your needs. You can focus on recent, short-term trends (5 days), track market movements over a month (1 month), or evaluate longer-term trends (3 months). This filter enables you to refine your analysis and make decisions based on the specific timeframe you are interested in.

Step 4: Analyze Results

• Identify Trends: By reviewing the correlations, you can better predict future market movements and validate or spot trends that align with your strategy.
• Risk Management: Use negative correlations to identify opportunities for hedging or diversifying your portfolio.

Why Correlation  Matters

Identify Market Trends

By viewing positive and negative correlations, you can spot trends in the market and align your trades with those movements. The aggregate correlation gives you a clearer picture of overall market sentiment.

Enhance Decision-Making

The ability to filter by short, medium, and long-term correlations allows you to adjust your strategy to the timeframe that suits your trading goals, improving the accuracy of your trades.

Risk Mitigation

Negative correlations are particularly useful for managing risk. If your selected symbol is highly negatively correlated with another asset, you can use this information to diversify your portfolio and mitigate potential losses.

Optimize Portfolio

Understanding the correlation between assets can help you optimize your portfolio by adding assets that either complement or counterbalance each other, depending on your risk tolerance.

Practical Applications

Spot Emerging Trends

Use positive correlations to identify assets that are moving in sync, signaling potential trends.

Manage Risk

Take advantage of negative correlations to diversify your holdings and minimize the impact of market downturns.

Fine-Tune Your Strategy

By analyzing correlations over short, medium, and long-term periods, you can tailor your trading strategy to capitalize on both immediate opportunities and long-term movements.

Portfolio Diversification

Use aggregate correlation data to understand how different assets behave together and adjust your portfolio to balance risk and reward effectively.

The Correlation feature on iYurek is a powerful tool for traders and investors to understand how different assets interact. By leveraging positive, negative, and aggregate correlations, along with customizable filters for short, medium, or long-term analysis, you can make more informed, data-driven decisions. Whether you're optimizing your trading strategy or looking to mitigate risks, this feature provides the insights necessary for smarter market moves.

By incorporating this tool into your trading routine, you can enhance your ability to navigate market trends, adjust your portfolio, and make confident decisions based on real-time data.

LEGAL NOTICE:

The information provided through the Services is for informational purposes only. None of the information included in the Services is intended to be, nor does it constitute, financial advice or any other type of advice. All information is general in nature and not tailored to your particular situation. You should not rely on any information or content from the Services to make investment decisions; you should consult with a financial professional to determine what may be most appropriate for your individual needs. We do not guarantee or promise any results that may be obtained through the use of the Services. No one should make investment decisions without first consulting their own financial advisor and conducting their own research and due diligence. None of the information and/or content available through the Services constitutes an offer or a solicitation of an offer to buy or sell, nor a recommendation, endorsement, or sponsorship of any company, financial product, security, or commodity. To the maximum extent permitted by law, we disclaim all liability for any inaccuracy, lack of completeness, or unreliability of the information, commentary, analysis, opinions, advice, and/or recommendations, as well as for any investment losses or other losses that may result therefrom. iYurek IS NOT a broker-dealer or placement agent. At no time does iYurek offer, broker, advise, purchase, sell, or otherwise transact in securities regulated by the SEC or by federal or state law. Neither iYurek nor Wall Street Business Academy Holdings, Inc. ARE PERSONAL FINANCIAL ADVISORS. Whether through the Services or otherwise, they do not provide personal financial advice, loans or credit, banking services, consumer credit ratings, credit decisions, financial products, brokerage accounts, insurance, tax advice, legal advice, or any financial or legal services of any kind. Although some advisors or companies may be presented through the Services, unless expressly stated otherwise, no endorsement or recommendation is provided to any advisors or companies seeking capital or investment opportunities. Please refer to our admission agreement for more details.