How to Set Linear Regression on MT4 Charts

Step 1: Open the Navigator Window Panel on FX Trade Platform

Open the Navigator panel as shown and illustrated below: Go to "View" menu (click on it), then select & choose the "Navigator" panel window (click), or From Standard Tool Bar click "Navigator" button or press key board shortcut keys "Ctrl+N"

On Navigator panel, choose and select 'Indicators', (DoubleClick)

How Do I Add Linear Regression in MT4 Platform Software? - How to Use Linear Regression Indicator

How to Set Linear Regression Trading Indicator on MT4 - MT4 Linear Regression Indicator

Step 2: Expand the Indicators Menu on the Navigator - Adding Linear Regression MT4 Indicator

Expand the menu by clicking the expound button tool mark off ' + ' or double click the "indicators" menu, and afterwards this particular given button will be shown as (-) & will now display a list just as shown below - choose the Linear Regression chart indicator from this list of indicators so as to add the Linear Regression to the chart.

How Do I Add Linear Regression on the Chart? - Linear Regression Setting in MT4

How to Set Linear Regression - From the Above window you as a trader can then place Linear Regression that you want on the chart

How to Set Custom Linear Regression to MT4

If the indicator you as the trader want to add is a custom indicator - for example if the Linear Regression you want to add is a custom indicator you'll need to first add this custom Linear Regression on the MetaTrader 4 software & then compile the custom Linear Regression so that the newly added Linear Regression custom indicator pops up on the list of custom indicators in MT4 software.

To learn and know how to install Linear Regression indicators in the MT4, how to add Linear Regression panel to MT4 and how to add Linear Regression custom indicator in MT4 Platform - How to add a custom Linear Regression in the MT4 Software.

About Linear Regression Described

Linear Regression Analysis and Linear Regression Signals

Another name for a regression line is a line of the best fit/best fit line. This indicator plots the market trend of the currency price over a specified duration of time. The market trend is determined by calculating a Linear Regression Trendline using the "least squares fit" method. This method helps to minimize the distance between the price data points and the line of best fit.

How Do I Use Linear Regression Indicator? - Linear Regression Settings on MT4

Unlike the straight Regression Trendline indicator, the indicator draws the end values of multiple Linear Regression trendlines. Any single point along the Linear Regression will be equivalent to the end value of a Regression Trend-Line, but the resulting trend-line resembles the MA.

But unlike the MA Moving Average, this trading indicator does not show as much delay since it's fitting a line on to info points rather than averaging them.

The Linear Regression is a prediction of the tomorrow's price plotted today, one day before. When the prices are steadily higher or steadily lower than the forecasted price, then one can expect them to return quickly to the more realistic fore-casted levels.

In other terms, this technical indicator shows where the chart prices "should" be based on a statistical basis and any dis-proportionate deviation from the regression line is likely to be short lived.

Technical Analysis and How to Generate Trading Signals

This trading indicator allows for the price selection, adjusting number of periods and smoothing out of price info before applying the calculation & the selection of smoothing out type.

This indicator looks like a Moving Average but it has got a bi-colour representation.

Bullish Signal (Blue color) - A rising line (higher than its previous value one previous bar before) is displayed and illustrated in the uptrend blue colour, while
Bearish Signal (Red colour) - a falling line (lesser than its previous value one previous bar before) is illustrated & displayed in the downtrend red color.

Linear Regression Indicator - Linear Regression Setting in MT4

Technical Analysis in Forex

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