Abbreviation: LinXYReg r
Category: Regression
Input Parameters:
| Name | Range | Default |
| X Axis | Close | |
| Y Axis | Close | |
| Regression Periods | Int >= 3 | 40 |
Calculation:
[ n * sum(X*Y) – sum(X) * sum(Y) ]
‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘‘
sqrt ( [n * sum(X*X) – sum(X) * sum(X)] * [n * sum(Y*Y) – sum(Y) * sum(Y)] )
where
sum(X*X) = sum of X*X over the last n periods
sum(Y*Y) = sum of Y*Y over the last n periods
sum(X*Y) = sum of X*Y over the last n periods
sum(X) = sum of X over the last n periods
sum(Y) = sum of Y over the last n periods
X = X Axis
Y = Y Axis
n = Regression Periods
Discussion:
Computes the coefficient of correlation (r) for the linear regression line. The coefficient of determination is a measure of the degree of linear correlation between two time series. The closer the value is to one, the stronger the positive correlation. The closer the value is to negative one, the stronger the negative correlation. A value of zero indicates a lack of correlation. Note that the coefficient of determination is simply the square of the coefficient of correlation.