Regression Analysis Fibonacci Color

📊 Regression Analysis Fibonacci Color
🎯 What Is the Purpose?
This system is designed to generate high-accuracy buy and sell signals by combining trend analysis, dynamic support/resistance calculation, and momentum & volatility confirmation.

🔍 How Does It Work?
✅ 1️⃣ Trend Analysis

A linear regression line is calculated based on price data.

The slope of this line is measured and smoothed to reduce noise.

This way, the system reacts not only to price but also to trend strength.

✅ 2️⃣ Dynamic Level Calculation (Fibonacci-Based)

Based on trend data, historical highs and lows are identified.

This range is divided using Fibonacci ratios: 0%, 23.6%, 38.2%, 50%, 61.8%, 78.6%...

These levels are drawn on the chart as dynamic support/resistance zones that adapt to price movement.

✅ 3️⃣ Trend Strength & Volatility Filtering (ATR-Based)

The Average True Range (ATR) is calculated to measure the market’s average movement range.

This indicates the strength of the trend:

Strong uptrend: Green

Strong downtrend: Pink

Signals are blocked in weak or sideways conditions.

✅ 4️⃣ Smart Buy & Sell Signals

Buy (Long) Signal:

Price dips into the lower zone and then moves back up.

The trend direction is upward.

Volatility confirms strength.

Momentum is validated.

Sell (Short) Signal:

Price breaks down from the upper zone.

The trend direction is downward.

Volatility confirms weakness.

Each signal is shown on the chart with a label & color:

Ⓐ → Buy

(S) or SAT → Sell



✅ RESULT
🔑 What Does This System Do?

✔️ Combines trend direction, momentum, and historical price ranges,
✔️ Generates dynamic support/resistance zones,
✔️ Smartly detects potential reversal areas,
✔️ Uses filtering to reduce false signals,
✔️ Allows you to track & test the entire process on a single chart.