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I’ve found a nice way to plot the data using a scatter chart. Cool!
Here’s my current situation. I have a technical indicator which I suspect could be predictive of price. I would like to take the output of the indicator and measure the relationship it has with future price. Right now I have the immediate relationship, that is, the values of both at the same point in time. I want to be able to compare the indicator with future price, but test a large number of durations between the indicator output and the price. For example, from 1 period to 500 periods. So, i’ll use notation i’m familiar with where square brackets indicate historic periods:
the relationship (correlations or whatever) between indicator[0] and close[til 500]
I want to determine which close period in the future has the highest correlation with the indicator output from a set time, and then run this test as many times as possible over each series/set. What would be some good ways to collect this data? Is there a way to visualize it? Anything info or suggestions in this area is appreciated. Thanks!
I hope that makes sense!