Rolling Correlations (3)

Earlier this week, I looked at 100-day rolling correlations between ARS and Weekend Trader, and between ARS and Trend Plays #1. This leaves one more combination for today: the correlation between Weekend Trader and Trend Plays #1:



This looks much more pleasant than the previous two graphs. For the most recent 100 trading days, the correlation between Weekend Trader and Trend Plays #1 is 0.26, which is only half of the correlation (0.52) between ARS and Trend Plays #1 for that same period. The max 100-day correlation between Weekend Trader and Trend Plays #1 is also quite reasonable: 0.37, substantially lower than the max 100-day correlation between Weekend Trader and ARS (0.62).