Linear Regression Momentum - Indicator for Sierra Chart

This tool is a fully re-engineered version of linear regression slope analysis, designed specifically for traders seeking precise trend momentum signals. Developed in native ACSIL, it delivers clean execution, professional workflows, and optimized performance for both intraday and swing trading contexts.

🔍 How It Works

The indicator calculates the linear regression slope of price action over a customizable period, then applies dual smoothing layers to filter noise and reveal true momentum shifts. Unlike basic slope indicators, this version combines:

• Raw Regression Slope – Pure mathematical slope of price movement
• EMA Smoothing – First layer removes short-term noise (customizable period)
• SMA Smoothing – Second layer creates the final momentum signal
• Dynamic Threshold Detection – Identifies extreme momentum levels automatically

The result is a momentum oscillator that clearly distinguishes between trending, ranging, and transitional market phases.

📊 Visual Momentum Analysis

The indicator features a sophisticated visual system with multiple display modes:

• Main Trend Line – Changes color and thickness based on momentum strength
• Momentum Histogram – Visual bars showing directional bias and intensity
• Zero Line Crossover Alerts – Background highlighting for trend changes
• Threshold Level Signals – Extreme momentum detection with enhanced styling

Color-Coded Momentum States:

• Bright Green – Strong bullish momentum above threshold
• Bright Red – Strong bearish momentum below threshold
• Neutral Gray – Ranging or consolidation phase
• Dynamic Histogram – Real-time momentum strength visualization

⚙️ Core Features

✅ Customizable Regression Period – Adapt to any timeframe or trading style
✅ Dual Smoothing System – EMA + SMA for optimal noise filtering
✅ Dynamic Threshold Detection – Automatically identifies extreme momentum
✅ Zero Line Crossover Alerts – Visual background alerts for trend changes
✅ Professional Color Schemes – Optimized for both light and dark chart themes
✅ Momentum Histogram Display – Intuitive bar chart showing directional strength
✅ Works on Any Chart Type – Tick, Range, Renko, Volume, or Time-based charts
✅ Fully Coded in ACSIL – Maximum performance and reliability
✅ Suitable for All Liquid Instruments – ES, NQ, CL, GC, 6E, etc.

🧠 Who It's For

Regression Slope Pro is designed for:

• Trend Traders seeking clear momentum confirmation signals
• Swing Traders monitoring medium-term directional bias
• Scalpers needing fast, objective trend context
• Technical Analysts requiring precise slope calculations with visual clarity

Whether you're trading momentum breakouts, trend continuations, or looking for high-probability reversal setups, this tool provides the mathematical precision and visual clarity needed to make confident trading decisions.

🎯 Trading Applications

• Trend Confirmation – Validate price action with mathematical slope analysis
• Momentum Divergence – Spot weakening trends before price reversal
• Entry Timing – Use zero line crosses for precise entry signals
• Extreme Level Alerts – Catch oversold/overbought conditions automatically

🔓 Professional Access

This study represents institutional-grade technical analysis made accessible to independent traders. Clean code, optimized performance, and professional-grade customization options.

📁 Included Files

• LinearRegression_64.dll – Compiled study for Sierra Chart

🔧 Installation Instructions

1. Copy the .dll file into your SierraChart/Data folder
2. Open Sierra Chart → Analysis → Studies
3. Click Add Custom Study
4. Locate Regression Regression Momentum and add it to your chart
5. Customize colors and parameters via Study Settings
   
   PS: Linear Regression Momentum is not a standalone trading system or signal generator. It provides objective, mathematically-based momentum insights to help traders evaluate trend strength and potential turning points. Traders should test and integrate the indicator within their own methodology to find where it offers an edge, whether for trend confirmation, entry timing, or spotting extreme momentum conditions.