Dummy variables for seasonality help.
Posted: Fri Mar 26, 2021 11:09 am
I am relatively new to Eviews and can't find a solution on this forum for an issue i'm having and was wondering if I could be pointed in the right direction - I have imported data onto my workfile for the daily (Mon-Fri) closing returns of the FTSE100 from 2010-2020 and want to analyse the "Monday effect" on the returns, meaning I have to make a dummy variable for Monday.
I have created a column next to the daily returns where it says "0" next to all non-Monday returns and "1" next to all Monday returns but I'm not sure how I run an OLS regression with the dummy variable.
Any help would be greatly appreciated.
I have created a column next to the daily returns where it says "0" next to all non-Monday returns and "1" next to all Monday returns but I'm not sure how I run an OLS regression with the dummy variable.
Any help would be greatly appreciated.