Linear regression channel
The best-fit straight line through the last N bars, with a band of its typical miss.
Formula
Channel = fitted line ± multiplier × standard deviation of the residuals
How to read it
Price near the upper band is stretched above its trend, near the lower band below it.
How to use it
Frames a steady trend and its normal swing.
Limitations
One line over one window: fitted after the fact, and redrawn as new bars arrive.
In Kereon
Charts · Superchart. Default 100 bars, ± 2 deviations; drawn only over the window it was fitted to.
Also called: regression channel, trend channel, raff.