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by Ashraf Laidi
Posted: Feb 22, 2010 5:00
Comments: 8936
Posted: Feb 22, 2010 5:00
Comments: 8936
Forum Topic:
Gold, Oil & Indices (Equity & Bond Indices)
Discuss Gold, Oil & Indices (Equity & Bond Indices)
btw v(d) = f(v(d)) is called recursive self-similarity.. not fractal.. and you might be making Leibniz mistake here thinking that only the straight line was self-similar in this sense :-)
perhaps (re-)read "How Long Is the Coast of Britain? Statistical Self-Similarity and Fractional Dimension" by Mandelbrot.. so you can begin to comprehend fractal nature of a leaf or chart patterns like the ones discuss here..
http://www.fractal.org/Bewustzijns-Besturings-Model/Image141.gif
whenever several entities compete for the same ressource with the same strategy, "fractal" patterns must appear because of the feedback v=f(v) , given particular startup parameters,
yields "fractals". Thus in nature the growth of the population of two species, one being the prey of the other, looks pretty much like a EUR/USD chart. It cannot be otherwise.
"Prices are thus high or low not because more or less money is in circulation, but there is more or less money in circulation because prices are high or low. This is one of the principal economic laws." (Marx)
perhaps u might need to update your mathematical trading model by couple of centuries:-)
so u say patterns are a system response to a signal, eh? have you heard of fractals?
modern view of finance system as being chaotic/nonlinear (Kydland and Prescott) can produce reasonable statements about real economy's ability and willingness to substitute standard (S) with credit (C)..
in other words.. v(d)=f(C)