Hi Mzvega,

first of all, thank you for sharing your experience

I'm new to the forum, but now i'm studying AMVT, and I want to learn...

Some time ago I began to study forex market, I started from the formula x*y=z, where x,y,z are for example eurgbp, gbpusd, eurusd.

The math tell us that in every moment the price of eurusd is the product of eurgbp*gbpusd, but also the product of euraud*audusd... and so on.....as we can see in the attached images there are many relationships between currencies.

The 3D graph show us the non linearity.

We also know that the formula x*y=z become linear when one of the variables is constant.

Now the question:

1) is correct to say that this is an example of non linearity of the market?

2) is correct to say that when the currency "x" is bracketing then the market become linear?

Thank you

first of all, thank you for sharing your experience

I'm new to the forum, but now i'm studying AMVT, and I want to learn...

Some time ago I began to study forex market, I started from the formula x*y=z, where x,y,z are for example eurgbp, gbpusd, eurusd.

The math tell us that in every moment the price of eurusd is the product of eurgbp*gbpusd, but also the product of euraud*audusd... and so on.....as we can see in the attached images there are many relationships between currencies.

The 3D graph show us the non linearity.

We also know that the formula x*y=z become linear when one of the variables is constant.

Now the question:

1) is correct to say that this is an example of non linearity of the market?

2) is correct to say that when the currency "x" is bracketing then the market become linear?

Thank you

Attached Images