Demo: Finding Correlation Between Stocks

Delve into building a stock correlation matrix using Python and Polygon.io. We discuss the significance of diversification for portfolio risk reduction and demonstrate how to fetch and analyze data using the Polygon's Python client library. Through practical examples, we show how to calculate daily returns, construct correlation matrices, and visualize data for different stocks. The tutorial provides viewers with a handy tool for understanding stock correlations and refining their portfolio management strategies. Blog: https://polygon.io/blog/finding-correlation-between-stocks/ Python: https://github.com/polygon-io/client-python Demo Script: https://github.com/polygon-io/client-python/blob/master/examples/rest/demo_correlation_matrix.py ⏰ Timestamps: 00:00 - Introduction to the problem 00:46 - Financial data from Polygon.io 01:25 - Aggregate Bars API 01:41 - Python client and demo_correlation_matrix.py script 02:05 - Walkthrough of the correlation matrix demo script 03:15 - First demo: Correlation analysis of technology stocks (AMD and NVIDIA) 04:01 - Second demo: Correlation analysis of stocks across various sectors 04:40 - Third demo: Correlation analysis of technology stocks vs oil sector stocks Thank you for watching, and happy exploring!