- Multiple linear regression formula. The equation for multiple linear regression extended to two explanatory variables (x 1 and x 2) is as follows: This can be extended to more than two explanatory ...

For concave strategies, the alpha calculated using linear regression will be lower. (Side note: concave strategies, i.e. those with a downcapture that is greater than the upcapture, can still be ...

Figure 1: The results of multiple linear regression depend on the correlation of the predictors, as measured here by the Pearson correlation coefficient r (ref. 2). (a) ...

R 2 is a statistical measure of the goodness of fit of a linear regression model (from 0.00 to 1.00), also known as the coefficient of determination. In general, the higher the R 2 , the better ...