diff --git a/README.md b/README.md index 3a7a41d..a7b63a8 100644 --- a/README.md +++ b/README.md @@ -68,18 +68,18 @@ PLS regression is a supervised learning technique that projects data into a lowe #### Training Procedure -1. Normalize the feature matrix \( X \) (e.g., RSI, EMA, etc.) and target vector \( y \) (price direction). -2. Perform the following iteratively for \( n \) components: - - Compute the weights \( w = X^T y / ||X^T y|| \). - - Extract scores \( t = Xw \). - - Deflate \( X \) and \( y \) by removing projections along \( t \). +1. Normalize the feature matrix $X$ (e.g., RSI, EMA, etc.) and target vector $y$ (price direction). +2. Perform the following iteratively for $n$ components: + - Compute the weights $w = X^T y / ||X^T y||$. + - Extract scores $t = Xw$. + - Deflate $X$ and $y$ by removing projections along $t$. 3. Use the reduced dataset for linear regression. #### Key Equations -- **Weight Vector**: \( w = \frac{X^T y}{||X^T y||} \) -- **Scores**: \( t = Xw \) -- **Deflation**: \( X_{new} = X - t t^T X \), \( y_{new} = y - t t^T y \) +- **Weight Vector**: $w = \frac{X^T y}{||X^T y||}$ +- **Scores**: $t = Xw$ +- **Deflation**: $X_{new} = X - t t^T X$, $y_{new} = y - t t^T y$ ---