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Comments follow:
RJP wrote:
> Velocity and acceleration calculations even at their most basic levels can
> reveal probable reversals with reasonable degree of accuracy. Such studies
> (including Browian motion) can be successfully applied to commodity trading
> and system development but how?The answer is indeed not a simple one and is
> beyond the scope of most traders.
I think that velocity and acceleration of price or any other variable can be used
but are not of highest importance. You can measure acceleration in buying or
selling or buying / selling speed. This can lead to better accuracy in determining
a possible magnitude of the price move. However acceleration and velocity can
never be main market variables since they are derivatives.
>
>
> A scalar is used to describe an event with one number, such as the closing
> price for a commodity. Vectors are used to describe events with more than
> one number i.e. open, high, low, and close to describe one vertical bar.
> Speed or non-directional velocity is described by a scalar and velocity
> which is directional by vectors.
Not clear about " velocity by vectorS" - I think you meant by a vector.
> Events such as market movement which cant
> be easily described by vectors use tensors instead.
Give me an example here how you would define a market movement in tensor.
> Commodity systems are
> tensors which expand, compress, rotate, deviate time, price and their
> derivatives.
Explain compress, rotate.
> Tensors can change the length and direction of lines, but only
> super tensors can change a straight line into a curved line.
Give me an example of tensor vs super tensor.
> Commodity
> systems based on super tensor mathematics can reveal powerful information;
Like what information? give me a couple of results here.
> backed with statistical foundations it is indeed possible to develop
> anti-trend systems incorporating physical relationships with accuracy's of
> better than 80% as to identifying the exact price (sometimes to the tick) at
> which a move will terminate and reverse.
Sounds like over optimization to me.
> It is essential that all trend
> following systems incorporate in some form or other anti-trend components as
> studies that I have conducted have shown that the performance of such
> systems way exceed the normal trend following systems.
>
I pure/good system does not have to have a trend definition built in it. The word trend
is confusing and hard to define in math terms.
> I'm interested in comments and / or a discussion on how other traders have
> applied velocity etc to commodity trading.
Here is an car example: if a car has 20 gallon gas tank, travels and a speed of 40 mphat 30 mile per gallon fuel efficiency. How many miles will
the car go before it stops
if there are 10 gallons in the tank? = 300 miles at 40 mph.
>
>
> Thanks
>
> RJP
You can describe market in vectors/tensors/matrix. However tensors imply that there is a
transformational law that exists between them.Care to comment?
Val.
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