its all about pure math
- Thread starter miss asian
- Start date
and 2 + 2 = 3 is how the brokers see you.
If anyone's interested in math, I have about 70 pages of charts (distribution analysis, normalization values, intra-channel price harmonics) from my analysis results. They look pretty, but I'd hate to elaborate what they mean hehe. Useful I know. The normalizations are useful for automated trading and quantifying strength/speed/etc of constructed trend channels. For example: construct trend channel, find width in absolute terms, find width in % terms, normalize width percent, find distribution of normalized width % accross volatility levels, adjust for volatility to get a linear mean value for distribution, then create a normalized distributed adjusted for volatility table to get linear values, and voila. Useful, though a little noise at extreme ends but if used properly, can tell you exactly how "strong" a trend channel is. Anyone else do this kind of math?
Wait till someone clue you in that there's a volatility number attached to that expectancy... even in the case of a coin tosses....
I guess the speed of that reversion or the size of the possible deviation from the mean is entirely irrelevant to you?
You must be making a killing in the market.
You must be making a killing in the market.
So... then you no longer agrees with your prior statement?
"Thats all you need and as pure as it gets."
Not that I disagree with you that expected return is the most important thing - but, it's also the hardest number to estimate (as in forecast, not as in measure).
"Thats all you need and as pure as it gets."
Not that I disagree with you that expected return is the most important thing - but, it's also the hardest number to estimate (as in forecast, not as in measure).