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Re: [EquisMetaStock Group] Re: Linear Regression


  • Date: Thu, 17 Dec 2009 12:04:27 +1300
  • From: "Roy Larsen" <rlarsen@xxxxxxxxxx>
  • Subject: Re: [EquisMetaStock Group] Re: Linear Regression

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Hi Rick
 
 
Did you check out the "Basic Linear Regression Trend Line" formula on page 15 of the Oct 2006 issue of MSTT? I can't see why this couldn't be adapted to do what you want. In combination with the Multi-Frame D timing module or other timing devices you could start the trend line at almost any point you wanted. I'm not sure what you have in mind with the straight lines but if they were based on the last bar's SD value then I don't see a major problem.
 
Regards
 
Roy
 
----- Original Message -----
From: rickbw
Sent: Thursday, December 17, 2009 8:58 AM
Subject: [EquisMetaStock Group] Re: Linear Regression

 

Preston,

Thanks for the response. The formula presented is not exactly what I was hoping for - I actually want to be able to build an indicator that provides a straight line through the center of prices (H+L+C/3) and then adding an upper and lower straight line 2 standard deviations apart. I will make the timeframe variable (1 month, 3 months, 6 months) once I uild the indicator. Ultimate plans would be to be able to scan with an exploration for certain characteristics.

Rick

--- In equismetastock@yahoogroups.com, pumrysh <no_reply@xx.> wrote:
>
> Rick,
>
> Bollinger Bands use the stdev() function to calculate the upper and
> lower bands. The middle band is a 20-period simple moving average. Here's the formula.
>
> Periods:=input("Enter the number of periods: ",5,50,20);
> A:= Close
> X:= mov(A,Periods,S);
> X + ( 2 * stdev( A, Periods ));
> X - ( 2 * stdev( A, Periods ))
>
>
> Modifying this formula may be what you need. The question is the straight linear regression line going through closing prices. You didn't mention how many closing prices.
>
>
> Preston
>
>
>
> --- In equismetastock@yahoogroups.com, "rickbw" <rickbw@> wrote:
> >
> > I was hoping to find a formula that would be able to help me build an indicator which would draw a straight linear regression line through closing prices and then placing an upper and lower parallel line 2 standard deviations away from the linear regression line. I'd like to build the indicator and parallel lines so that I could use them in explorer. Can anyone tell me what function I would use? I can find a way to use linear regression for bands, but not straight lines. Any help or pointing in the right direction would be appreciated.
> >
>



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