By Islam BarakaDefinitions
In plain terms
An inlier supports the candidate line under the chosen residual rule.
Technical
Pivot i is an inlier when |log(p_i)-z_hat_i(h)| <= epsilon_log, with equality included.
Scope
Inlier status depends on the candidate, tolerance, and selected price basis.
Formula
inlier when absolute log residual is no greater than the tolerance|z_i-\widehat z_i(h)|\le\epsilon_{log}| Symbol | Meaning | Unit |
|---|---|---|
epsilon_log | log residual tolerance | log-price |
Output unit: boolean state
Examples
- A reviewer computes Consensus Inlier on a small deterministic fixture and checks timing, units, and boundary behavior before publication.
Common misconceptions
- Inlier status depends on the candidate, tolerance, and selected price basis.
Concept relationships
Where this concept is used
Evidence and governance
- sklearn.linear_model.RANSACRegressor scikit-learn · first party technical publication
Supports: preferred label, short definition, technical definition, formula
Limits: This package enumerates every two-point hypothesis for small pivot sets instead of using random sampling.
- Linear Least Squares Regression NIST/SEMATECH · official standard
Supports: preferred label, short definition, technical definition, formula
Limits: A fitted line remains descriptive and is not evidence of a future price path.
- numpy.log NumPy · first party technical publication
Supports: preferred label, short definition, technical definition, formula
Limits: A log transform requires positive finite prices and does not by itself define a financial level.
- numpy.polyfit NumPy · first party technical publication
Supports: preferred label, short definition, technical definition, formula
Limits: The glossary freezes its own log-space OLS contract, diagnostics, and tie rules.
- Reviewed by
- fintech-builder-batch-011
- Last reviewed
- 2026-08-09
- Next review
- 2027-08-09
- Record status
- evidence reviewed
This record is evidence-reviewed and readable, but not yet promoted to published — it is served noindex,follow and excluded from the sitemap.