Thursday, January 12, 2017

Standard Error vs Standard Deviation Regression Channel

Can anyone help me understand a standard error regression channel better? I understand that the standard deviation regression channel will plot a linear regression lines along with channels 1 ,2, 3, etc standard deviations from that line. So if I understand it correctly (maybe I don't) - If I plot a standard deviation regression channel with channels at 1, 2, and 3 standard deviations then 68% of the prices I'm sampling should fall between the linear regression line and the channel representing 1 standard deviation, 95% of the prices should fall be between the regression line and 2 standard deviation channel, etc.

...but I'm much more confused about what I'm looking at when it comes to a standard error regression channel.

Anything to help me understand this better would be great! Thanks.



Submitted January 12, 2017 at 05:29PM by Justin534 http://ift.tt/2jBBCTE

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