Question: Run a simple linear regression using EXCEL ( 11 Marks) Use Time period and Stock 1 prices Show the output from Excel ( note the
- Run a simple linear regression using EXCEL (11 Marks)
- Use Time periodand Stock 1 pricesShow the output from Excel ( note the weeks must be changed to time periods 1,2,3...)
- Set up the linear regression equation Stock 2
- Test the significance using p-value with =0.05. Stock 2
- Use Linear regression equation (from b) forecast the stock price for end of May 2022. Stock 2
- Draw Time-series plot for Stock 2
- Do you notice any trend in e)? How would you adjust your forecast above in d)?
| Stock 1 prices | |
| weekly rate of return | DEVIDATION OF STANDARD RATE OF RETURN |
| 239.48 | |
| 232.79 | -2.793552698 |
| 219.62 | -5.657459513 |
| 219.91 | 0.132046262 |
| 237.72 | 8.098767678 |
| 265.93 | 11.86690224 |
| 270.85 | 1.850110931 |
| 227.11 | -16.14916005 |
| 218.41 | -3.830742812 |
| 241.72 | 10.67258825 |
| 224.3 | -7.206685421 |
| 208.47 | -7.05751226 |
| 229.51 | 10.09257927 |
| 258.37 | 12.57461549 |
| 263.08 | 1.822967063 |
| 245.11 | -6.830621864 |
| 247.76 | 1.08114724 |
| 223.96 | -9.606070391 |
| 197.13 | -11.97981782 |
| 204.91 | 3.946634201 |
| 220.9 | 7.803425894 |
| 211.43 | -4.287007696 |
| 217.14 | 2.700657428 |
| 236.13 | 8.745509809 |
| 244.15 | 3.396434168 |
| 241.85 | -0.942043826 |
| 235.9 | -2.460202605 |
| 235.16 | -0.313692242 |
| 260.59 | 10.81391393 |
| 255.28 | -2.037683718 |
| 281.81 | 10.39251018 |
| 268.59 | -4.691103935 |
| 257.35 | -4.184817007 |
| 262.13 | 1.857392656 |
| 265.94 | 1.453477282 |
| 251.54 | -5.414755208 |
| 255.09 | 1.411306353 |
| 266.72 | 4.559175193 |
| 239.84 | -10.0779844 |
| 249.16 | 3.885923949 |
| 247.41 | -0.702359929 |
| 265.08 | 7.141991027 |
| 261.33 | -1.41466727 |
| 247.46 | -5.307465656 |
| 226.51 | -8.466014709 |
| 230.35 | 1.695289391 |
| 215.65 | -6.381593228 |
| 192.15 | -10.89728727 |
| 186.75 | -2.81030445 |
| 165.88 | -11.17536814 |
| 167.71 | 1.103207138 |
| 165.34 | -1.413153658 |
| 144.66 | -12.50756018 |
| 136.95 | -5.329738698 |
| 127.58 | -6.841913107 |
| 105.64 | -17.19705283 |
| 101.5 | -3.918970087 |
| 108.94 | 7.330049261 |
| 104.02 | -4.516247476 |
| 94.99 | -8.68102288 |
| 119.82 | 26.13959364 |
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