Comments on: Phi, the Golden Ratio, and Predicting Stock Prices with Quantum Physics http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/ Start Something Thu, 04 Dec 2008 03:35:11 +0000 http://wordpress.org/?v=2.6.1 By: Shane http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5763 Shane Wed, 25 Jun 2008 09:45:50 +0000 http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5763 Hey Cage, Correct; the Heisenberg Principle is specifically geared towards the quantum level of things, but in the macro world it holds a lot of water. When it comes to investing, you can build a trending system based on observation, but if you want to make money, you have to jump in and work that system ... suddenly, you're no longer an observer and you're creating an impact on what you were previously just observing. That impact changes the future. As far as Gann and "systems within systems", there's a lot of common sense in this ... For example, if the Dow is trending up and Nasdaq is trending down, then you have a better chance of going long on Dow stocks. To go further, if financials are trending up and energy stocks are down, then, financial stocks on the Dow will be a stronger play than energy stocks on Nasdaq. I'm speaking more to the idea of Phi and trends within trends. Gann's methodology is a way of finding those trends mathematically rather than fundamentally. My real point with this post is that no system is absolute. Some people will find success with Gann's methods. Others will not. Not all of Richard Dennis's famous turtle traders found success. Especially once they were out on their own. Others did very well. There are a lot of people out there peddling "amazing" trading "systems". Most are garbage. None are a substitute for your own brain. Hey Cage,

Correct; the Heisenberg Principle is specifically geared towards the quantum level of things, but in the macro world it holds a lot of water. When it comes to investing, you can build a trending system based on observation, but if you want to make money, you have to jump in and work that system … suddenly, you’re no longer an observer and you’re creating an impact on what you were previously just observing. That impact changes the future.

As far as Gann and “systems within systems”, there’s a lot of common sense in this …

For example, if the Dow is trending up and Nasdaq is trending down, then you have a better chance of going long on Dow stocks. To go further, if financials are trending up and energy stocks are down, then, financial stocks on the Dow will be a stronger play than energy stocks on Nasdaq.

I’m speaking more to the idea of Phi and trends within trends. Gann’s methodology is a way of finding those trends mathematically rather than fundamentally.

My real point with this post is that no system is absolute.

Some people will find success with Gann’s methods. Others will not. Not all of Richard Dennis’s famous turtle traders found success. Especially once they were out on their own. Others did very well.

There are a lot of people out there peddling “amazing” trading “systems”. Most are garbage. None are a substitute for your own brain.

]]> By: Cage http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5762 Cage Wed, 25 Jun 2008 06:32:42 +0000 http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5762 Oh and the Heisenberg uncertainty principle applies to quantum systems, that is, particles, the very very small. Not to large systems, as the measurement of particles by means of reflection of course changes the the particle. Larger systems are immune to the effects of individual observation, and many systems are rather driven by observation as a foundation. Oh and the Heisenberg uncertainty principle applies to quantum systems, that is, particles, the very very small. Not to large systems, as the measurement of particles by means of reflection of course changes the the particle. Larger systems are immune to the effects of individual observation, and many systems are rather driven by observation as a foundation.

]]> By: Cage http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5761 Cage Wed, 25 Jun 2008 06:24:40 +0000 http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5761 Sorry about the typos, it's too late at night for such perfection. Sorry about the typos, it’s too late at night for such perfection.

]]> By: Cage http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5760 Cage Wed, 25 Jun 2008 06:23:41 +0000 http://www.zoomstart.com/phi-golden-ratio-and-predicting-stock-prices/#comment-5760 I agree with you on that "the more people that use a successful “beat the market” system, the less chance it has of success", because the wide general usage of any predictive system destroys it and a new one must be created to predict patterns that arise from the usage of the destroyed system- although the destroyed system is quickly abandoned because it is then non-functional. However, I must say in all honesty and humility, there are patterns and more so systems incorporated into larger systems. And Phi is appears to structure many of these systems in one way or another. I can't give out too much information but Gann was correct, though he did not reveal the entire key to the method, he did hint several truths. Time and Price, is one of the most important hints. I stumbled upon the importance of time and price a few months ago, however, not until I recently rediscovered some of his work and read the importance of time and price did I fully understand, so much so that it gave me goose bumps. Best regards, C I agree with you on that “the more people that use a successful “beat the market” system, the less chance it has of success”, because the wide general usage of any predictive system destroys it and a new one must be created to predict patterns that arise from the usage of the destroyed system- although the destroyed system is quickly abandoned because it is then non-functional.

However, I must say in all honesty and humility, there are patterns and more so systems incorporated into larger systems. And Phi is appears to structure many of these systems in one way or another.
I can’t give out too much information but Gann was correct, though he did not reveal the entire key to the method, he did hint several truths. Time and Price, is one of the most important hints. I stumbled upon the importance of time and price a few months ago, however, not until I recently rediscovered some of his work and read the importance of time and price did I fully understand, so much so that it gave me goose bumps.

Best regards,

C

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