Lij_MC

MarketVision Linear Regression Channel

This Indicator Displays a Linear Regression Line along with its Standard Deviations of 2 3 and 4 Plus Fibonacci Lines Between The Upper and Lower 2 Standard Deviation Channel

It is my No Frills attempt at the Linear Regression Channels
I wanted to be able to display Channels for Standard Deviations of 2 right up to 4 which was a simple feature that I couldn't find with most other indicators of the sort
So this is what I have done with my version Linear Regression Channels

The Source and Width of the Lines are Customisable

The Lines and Label Change Color from Red to Green depending on the Direction of the Linear Regression Line indicating the Direction Of the Trend

The Label Displays an Arrow which indicates the following

⇑ Uptrend and moment increasing
⇗ Uptrend and moment decreasing
⇓ Downtrend and moment increasing
⇘ Downtrend and moment decreasing
⇒ No trend

Linear Regression is a type of mean or average that can be used to predict future price moves

The Standard Deviations can act as Support and Resistance with the 2nd Deviation capturing approximately 95% of Historical Prices
The further the price moves away from the Linear Regression line the greater the chance of a snap back or return to the mean

Always use this in confluence with other Support and Resistance etc

The MarketVision Linear Regression Channel compliments my other MarketVision indicators Which help by showing Momentum and Divergence at certain levels which is another confluence which can be added to the mix

As Trading is Risky Please Always Ensure that you are using proper Proper Risk Management

Thank you to those who have gone before me and provided the building blocks to create this Indicator especially LonesomeTheBlue who has brought so many beautiful scripts to to world

Enjoy!
Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.

Want to use this script on a chart?