Why is it important to understand the Correlation Coefficient? What is correlation?Letâ€™s make the concept more granular so it will be clear to understand. At first, correlation is when two numerical variables are not related to each other but behave in a proportional or not necessary way. For example: during Summer of 2020, the highest temperatures reduce the covid propagation.

Correlations could be weak, moderate or strong and the direction of it will define if the correlation is negative or positive ; in addition we have to know that the correlation is closer to 1 the stronger it is, on the other hand if it is closer to 0 the weaker it is.

We are not going to talk about math equations, we are going to share the importance of interpreting correlations. This can help us to better understand the context and grab more detail from our analysis.

So to understand the context, analyzing the elements is just one part and it is important but in fact the better the question is built the more accurate is the answer (another correlation). We need to know how to choose what statistical chart to use depending on the question made. A tip is:

- If the questions is related to quantity, then use bar chart
- If the question related to progrations or degradation, then use line chart
- If the question is related to compare, then use Histogram

Another important topic of interpreting the correlation is how we tell the story of these correlations. Telling a story on statistics is an art, strongly recommended to read the book of Storytelling with data by Cole Nussbaumer Knaflic. Covering key concepts about Correlation and knowing how to share results to the audience is the most basic thing to know how to do on Statistic.

**Note: Feel free to click on the link, send me a request on the form asking the book and we send you for free to you. **