How to find reliance industries correlation with nifty?

How to find reliance industries correlation with nifty?

To find the correlation of reliance industries with nifty we need to understand the importance of finding out the correlation. Reliance industries have a high weightage nifty index of about 10%. If the correlation is positive we have the advantage to take a trade-in nifty options or future. 

Procedure to find the correlation between the reliance industries and nifty index

1. Download the correlation excel sheet from the link
2. Download the reliance industries historical data from this link 
3. Download the nifty index historical data from this link
4. Open the Excel sheet and copy and paste the data in correlation file 
5. If the correlation is more than 1.25 it suggests a positive correlation
6. If the correlation is - 1.25 it suggests a negative correlation
7. A positive correlation means the stock will move in the direction of the index
8. A negative correlation means the stock will not move in the direction of the index
9. Stock with negative correlation is always better to invest and generate a good return in the future

Learn the harmonic pattern link