Linear Regression Slope – FX Replay Guide
The Linear Regression Slope indicator on FX Replay helps you quantify the strength and direction of a trend by calculating the slope of a linear regression line fitted over a selected timeframe. This is especially useful for validating setups or confirming entries on trending moves.
How to Use It in FX Replay
1. Identify Trend Direction
- Positive Slope: Uptrend.
- Negative Slope: Downtrend.
- Near Zero: Ranging/Consolidation.
2. Measure Trend Strength
- A steep slope means the trend is strong.
- A shallow or flat slope = Weak or choppy trend.
3. Confirm Entries
- Use the slope as confirmation when price aligns with your trade bias.
- Combine with tools like Order Blocks, FVG, or HTF PO3° for higher confluence.
4. Spot Entry Triggers
- Slope crossing above 0: Potential long setup.
- Slope crossing below 0: Potential short setup.
- Slope direction change: Momentum shift.
5. Risk Management Tips
- Place stop-loss below the regression line for long trades.
- Place stop-loss above the regression line for short trades.
- Use slope changes as early exit signals in case of weakening trend.