CpG refers to any cytosine nucleotide in DNA that neighbors a guanine. CpG site comes from "cytosine-phosphate-guanine site". These sites have the potential for a methyl (or other derivative) to be attached. Dense regions of CpG's are known as CpG islands.

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How correlated are proximally related CpG sites in human DNA?

Cytosine residues in DNA that can be methylated (i.e. CpG sites) are likely to be in the same methylation state if they are geographically (proximally) close together. I can only find one paper that ...