A statistical technique that identifies clusters of stocks whose returns are highly correlated within each cluster and relatively uncorrelated across clusters. Cluster analysis has identified groupings such as growth (growth stocks), cyclical ( cyclical stock), stable, and energy stocks. Bloomberg Financial Dictionary
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cluster analysis UK US noun [U]
► a way of studying or examining large amounts of data to find groups that are more like each other than they are like the data in other groups: »
Cluster analysis is being used to determine the extent to which employed women are segregated into particular occupations.
Financial and business terms. 2012.