The Regression Channel Position solver tells where price is relative to a regression channel, divided into six zones, A to F.
Four zones are inside the channel and two outside. The zones are mirrored for each side: for Long, Zone A is above the upper line and the letters run downward; for Short, Zone A is below the lower line and they run upward. Give each zone an output to signal with the trend or against it.
Properties tab
The essential settings for the node.
Modifiers
Buttons for the most common output modifiers. They change only the selected instance of a node on a Logic Board, so they appear only when a node is selected there, not when a solver is selected in the Solvers panel. That keeps the solver’s original output unchanged everywhere else it’s used, much like changing an SMA’s plot color on one chart leaves it unchanged on your other charts.
| Button | What it does |
|---|---|
| Enable | Turns the node on or off. When it’s off, the node is left out of the system’s calculations. It still looks connected on the Logic Board, but it’s ignored. |
| Invert | Inverts the node’s output. The same calculation as the Inverter function node, without its extra options. |
| Swap | Swaps the outputs: Long becomes Short and Short becomes Long. The same as the Long/Short Modifier function node with Mode: Swap. |
Global Properties
These settings apply to every instance of the solver: change one instance and they all change. To change just one, make a copy of the solver. The copy is a separate solver, with a number added to the end of its name.
Behavior
Turns off the Long or the Short output.
| Setting | What it does |
|---|---|
| Evaluate | Which outputs the solver calculates. Both: Long and Short. Long only: only Long; the Short output is removed. Short only: only Short; the Long output is removed. |
Channel Parameters
| Setting | What it does |
|---|---|
| Period | The regression channel’s period. |
| Width | The channel’s width. |
Output
| Zone | Long output when price is… | Short output when price is… |
|---|---|---|
| Zone A | at or above the upper line | at or below the lower line |
| Zone B | between the upper quarter line and the upper line | between the lower quarter line and the lower line |
| Zone C | between the middle line and the upper quarter line | between the middle line and the lower quarter line |
| Zone D | between the middle line and the lower quarter line | between the middle line and the upper quarter line |
| Zone E | between the lower quarter line and the lower line | between the upper quarter line and the upper line |
| Zone F | at or below the lower line | at or above the upper line |
Options tab
Secondary settings shared by all nodes.
Weight
Changes the node’s final output value. Only needed when designing a fuzzy logic system, or a fuzzy logic part of a system.
How Weight works
Weight changes only the selected instance of a node on a Logic Board. So the controls appear only when a node is selected there, not when a solver is selected in the Solvers panel: a solver’s original output can’t be changed globally.
| Control | What it does |
|---|---|
| Multiply Output | Multiplies the node’s internal Long and Short values (set by the Output Rules on the Properties tab) by this number. The final output still can’t go above 1 (see Slider). |
| Slider | Limits the final output to between 0 and 1. The left handle sets a minimum output, given whether or not the condition is true. The right handle sets the maximum; the output is capped there. |
| Hedge Operation | Applies a formula to the internal value. None: unchanged. Very: squares it (value²). Somewhat: takes the square root (√value). |
Example: two out of three
Three solvers check three indicator conditions, but only two need to be true. Connect them to an Additive logic node and set each solver’s maximum (the slider’s right handle) to 0.5. When any two are true, the Additive node adds 0.5 + 0.5 + 0 = 1, which means the two-out-of-three condition is met.
Description
Free text for describing what the node does or what it’s for. The Description is shared by every instance of the node, unlike Weight, which is set per instance.
Help tab
Shows this page for the selected node, inside BloodHound. Click the node’s image at the top of the page to open it in a bigger window. The built-in web viewer needs NinjaTrader 8.0.26.0 or newer.
Tutorial video
From the weekly training workshop, July 2024.
Examples
Example 1A: The basics (counter-trend)
The default outputs on Zones E and F give counter-trend signals, and show how the zones are mirrored for Long and Short.
Settings and chart
Settings
- Add the solver to the Logic Board and connect it to the Result node.
- Set Zones A, B, C and D to 0.
Result
On the left, price in Long Zone E or lower gives a Long output of 1. On the right, the zones are mirrored: price in Short Zone E or higher gives a Short output.
Example 1B: The basics (with the trend)
The opposite zones give signals in the direction of the short-term trend.
Settings and chart
Settings
- Set Zones A and B to 1.
- Set Zones C, D, E and F to 0.
Result
A Long output when price goes above the upper quarter line, and a Short output below the lower quarter line: every output is reversed compared with 1A.
Example 2: Filtering by the channel’s slope
A Long signal when price goes beyond the lower line while the channel slopes up, and a Short signal beyond the upper line while it slopes down.
Settings and chart
Regression Channel Position solver
- Add the solver and set Zones A, B, C, D and E to 0.
Slope solver (the filter)
- Add a Slope solver.
- Set Input » Type to Linear Regression Channel, with Regression Period 50 and Width in Deviations 4.
- Set Long Evaluation and Short Evaluation to Middle Channel Line.
Combine them
- Add an AND node, connect both solvers to it, and connect it to the Result node.
Result
Two charts side by side, showing with-trend channel signals after filtering.
