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Solve the below code exactly in R studio. you will write an R script to calculate the relative volatility for the three given stocks: enb,

Solve the below code exactly in R studio.
you will write an R script to calculate the relative volatility for the three given stocks: enb, baba, and aapl
The following are the names of the files: "BABA.csv", "AAPL.csv", "ENB.csv"
These CSV files contain the historical trading data for the corresponding stocks trading at NYSE/Nasdaq stock exchange, and each of them has the following information:
Date, Open Price, High Price, Low Price, Close Price, Adj Close, Volume
To DO:
Your task is to write an R script that will calculate the covariance for each of the stocks to calculate the volatility for the year 2019 using the closing price of the stocks. A higher value of covariance means the stock is more volatile.
How to calculate covariance?
To calculate the covariance, we need to know the mean and the standard deviation (sd). Then using the mean and the standard deviation, we can calculate the covariance (cv) using the following formula:
cv = sd/mean
Your R script should deliver the following:
The script should save the covariance for each of the three stocks to a data frame, and then the data frame should be saved to a CSV file named "covariance.csv"
All the covariances of the three stocks should be plotted on a single plot
Your program should save the stock tickers for the most and the least volatile stocks to a data frame, and then the data frame should be saved to another CSV file named "maxMin.csv"
Make sure the script is well documented. I mean, each line of code should be documented
Make sure that you show and everystep for exmaple starting with ensuring the CSV file paths are correct and that your working directory is set appropriately in R with setwd() and ouput for each questions aksed above.Make sure that code runs propely I am also leaving a sample exmaple to that illustrates the output for all the
3
question. note that in the sample example thery are using five stocks where as we are only focusing on
3
stocks which are "baba", "enb", "aapl". The sample doesn;t use the same stocks it just to demontrates the outputs of the
3
questions asked above.
Hope anyone doing this question is clear and Thanks in advance
For Q1:
Figure-1: Covariance for the five stocks
For Q2:This picture has 5 point since the sample example is testing 5 stocks in ol
case there are only 3 "baba","enb","aapl"
For Q3:
maxMin.csv - Notepad
File Edit Format View Help
"Ticker"
"acst"
"bac"
Figure-3: The most and the least volatile stocks
image text in transcribed

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