Decoded Intelligence Signal
Autocorrelation
advanced
strategy
Verified: May 27, 2026Lexicon Core Definition
The correlation of a time series with a lagged version of itself; positive autocorrelation implies momentum (today's direction predicts tomorrow's); negative autocorrelation implies mean reversion (extreme moves tend to reverse); central to identifying which strategy family is appropriate for a given asset and timeframe.
Analysis Breakdown
The correlation of a time series with a lagged version of itself; positive autocorrelation implies momentum (today's direction predicts tomorrow's); negative autocorrelation implies mean reversion (extreme moves tend to reverse); central to identifying which strategy family is appropriate for a given asset and timeframe. Full explanation coming soon when Journey 22 content is ingested.