LRC

LRC (Linear Regression Candle) [SpUn]

Overview
The LRC (Linear Regression Candle) indicator applies linear regression to the open, high, low, and close prices, creating smoothed "candles" that help filter market noise. It provides trend-confirmation signals and highlights potential reversal points based on regression crossovers.

Key Features
Smoothed Candles: Uses linear regression to calculate synthetic OHLC values, reducing noise.

Multi-Timeframe Support: Optional higher timeframe analysis for better trend confirmation.

Visual Signals: Color-coded candles and labels highlight bullish/bearish control zones.

Customizable Settings: Adjustable regression length, colors, and timeframe options.

How to Use
Signals & Interpretation

🟢 Bullish Signal (BUY): When the regression open crosses above the regression close (green candle).

🔴 Bearish Signal (SELL): When the regression open crosses below the regression close (red candle).

Control Zones:

Strong Bullish (Controlbull): Confirmed uptrend (bright green).

Bullish (Bull): Regular uptrend (light green).

Strong Bearish (Controlbear): Confirmed downtrend (dark red).

Bearish (Bear): Regular downtrend (orange).

Neutral (Gray): No clear trend.

Recommended Settings
Linear Regression Length: Default 8 (adjust for sensitivity).

Timeframe: Default current chart, but can switch to higher timeframes (e.g., 1D, 1W).

Bar Colors: Toggle on/off for visual clarity.

Labels: Displays "Control" markers at key reversal points.

Example Use Cases
Trend Confirmation: Use higher timeframe LRC to validate the primary trend.

Reversal Signals: Watch for BUY/SELL crossovers with strong color confirmation.

Noise Reduction: Helps avoid false breakouts in choppy markets.