I assume you already know what regression is. "Regression is a statistical method used in finance, investing, and other disciplines that attempts to determine the strength and character of the relationship between one dependent variable (usually denoted by Y) and a series of other variables (known as independent variables)." In the most simple terms -- we want to fit a line (or hyperplane) through data points to obtain a line of best fit. The algorithm behind aims to find the line which minimizes the cost function -- typically MSE or RMSE. That's linear regression, but there are other types -- like polynomial regression.
Jul-11-2020, 08:35:24 GMT