Quantum Physics and trading forex

Quantum physics is the physics of possibilities. Its a science that studies how 'real' something is and to distingush 'reality' from the 'possibility'

Quantum physics basically states that the only real things in the world around you, is only what your conscious determines as 'real'

Believe it or not, the chair your sitting on, the computer monitor your looking at while reading this post, the mouse you currently have your hand on, don't exist anywhere but in your mind. For all you know, you could be part of some massive experiment created by higher forms of life from another world.....(crazy talk, hey....but let me get to my point!)

You believe that everything around you exists, because your conscious believes its there - in other words, your the one who creates the reality around you. Every object you see to be tangible around you really is intangible - the only tangible thing about them is the idea of that object being there. The chair you are sitting on, is there only cause you allow it to be there consciously. It doesnt have to exist if you dont want it to, but it does, cause you want it to and you were brought up with the notion that chairs are made for sitting on.

But what if you never have seen a chair in your life, and you have never sat down in your life, and one day in the middle of nowhere you came across a chair and no one told you it was there - would you see it? No you wouldnt, it would be an object which wouldnt exist to you. Your brain ony processes what is knows - it cant process things that it doesnt perceive as real.

When Captain Cook sailed into Sydney Harbour 230 years ago, and discovered the east coast of Australia, the local aboriginals did not even recognise the tall ships from the other side of the world, sail into the harbour. These ships would have been completely foreign and out of this world for the indigenous people back then. It was only when one of the elders of one of the tribes noticed wripples in the water, and sought to find the answer for these wripples in the water, that he then began to notice the British ship 'the endeavour' sailing through the harbour. He then went and told everyone in the tribe, and it was only then, that the rest of the aboriginals in the area, began to see them too.

Have you ever tried going to the kitchen cupboard after your wife or your mum has asked you to go and get them the salt, and when you arrive you cant find it, only to have them come 2 mins later, and find it right in front of you where you were originally looking. Maybe this has happened because in the first place, you didnt want to look for it, in your mind you already created a reality, and in that reality the salt didnt exist. To everyone around you, the salt existed....but to you for that moment you had completely blocked what salt was in your mind.

So if all reality is only in your head, is it possible your eyes have the ability to see more than what our brains can process?

The short answer is ..... of course!

What has this crazy talk, got anything to do with trading forex?

Well - the market is a collection of conscious thoughts, people buying and selling on what they perceive to be the best probability for them. There is always going to be more than one explanation for a movement in a certain pair, of why the euro jumped 200 pips. etc.

Its what we believe we can see, thats going to make the difference. If we believe the market will move in our favour, well then only in our heads, will we think that the probability of it moving in our favour will be great. But is this really what the market thinks, or what happens with the 'real' market.

Traders, especially newbies often make the mistake of seeing the market in only one light - in the idea, that they will come out a winner no matter what. Unfortunately, this is not the natural behaviour of the market, and as most of us knows, it doesnt favour or distinguish one trader from another. But this newbie, they have this notion so set in their mind, that it becomes real to them - that is until there account is blown away from their wayward thinking.

What are the other possibilities?

So many traders make the distinguished mistake, of never seeing eye to eye with the market.

There are so many other possibilities and ideas out there to explore in the markets. This is why one must have a clear head, and open up his mind once he is trading, to the select number of possibilities given when trading.

Another big mistake traders make is, limiting their gains, or taking profits earlier than normal, or not entering into a trade with a high probability of success. This mainly occurs because the trader believes he can not achieve what the market really offers us, a endless realm of possibilities.

Remember, the market does not exist - we create the market in our head. The market is seen differently by every single trader out there - depending on how eac individual sees and perceives the market. How we perceive the market, ultimately leads us to creating our systems and money management practices around the idea we have conceived about the market itself.

If the market is limitless, and a relm of endless possibilites, does this mean we there is a limit to what we can achieve from this unbelievable place of collective human consciousness. Can we limit the amount of income we are able to achieve? Can one limit the pip collection one can make over the course of their career.

It all exists in your head, what you take out of the market, is what you believe you deserve.

It does not mean we shouldnt identify the risks also, and make decisions based on a solid money management plan. etc. The risks are definetely there!

But - unbelievable things happen, when you believe anything is possible.

Because at the end of the day, thats all the market is - nothing tangible, just a collection of human emotions and consciousness ideas. And by all means....

Anything is possible...

Cheers

Rusty

So given your previous discourse, How am I able to have new ideas and construct new concepts? How am I able to process information and events that I have not encountered before?

From what you describe, it would appear that reality is nothing more then a construct of my own imagination. Why for instance am I writing this now. It seems rather futile.

Why don't I just construct a market that is always doing what I want it to?
If I did do that, I think I would probably construct myself in a mental institution and imagine that I am being treated by mental health personnel in an attempt to bring a perceived normalcy back to my reality.......

Naaaah I'm going go have a beer and read a book.

Scott

Well - if you read the thread in more detail is saying - People do exactly that...they construct the market in the way they want it to be...

Reality is how you picture it...The market doesnt work to your own reality...

Each individual trader pictures the market in his own light. The market moves on each traders different ideas and perceptions about the security of which being traded at whatever period of time.

A good trader, accepts the market in its own way - and not how he perceives it in his mind. He/She looks for the possibilities constantly, rather than coming up with his/her own conclusions, and fixating them to the market over a period on which one trade lasts.

Obviously, some people won't understand this level of thinking - not saying there is a superiority of thinkers out there, just its a different way of seeing things.

Oh I read it completely. In fact I am staring at a book I have just read

Bright Air Brilliant Fire On Matter of The Mind by Nobel laureate Gerald M Edelman...

What I was attempting to convey in such a crude way was that We often will not allow ourselves to open our minds to the possibilty of success and when we get close to achieving it we turn away and force ourselves back into the mold we have set for ourselves...

I think your post here is right on the mark...

I just have to work on my symbolism...
Scott

Scotty,

spot on!

However, we dont have to be this way...

It is difficult to train oneself to perceive something that cannot be imagined.
This is the sticky area we get into when we say to ourselves are we seeing things as they are or are we seeing things as we want them to be?

At any given time we have a choice to use out ability to create our future and our reality, or we can let what we have been programmed to believe what is normal, be our world.

This morning was a very good example I have read several posts of people saying they were either going to short GBPUSD or going to buy GBPUSD.

Nobody knew with certainty which way the market would go. So some were wrong and some were correct. It is that simple. If those who entered shorts realized that the new information of the direction of the GBPUSD was not what they had expected and if they changed their trade, they also would have profited...

Then there were those who were sure all the way up that they were not seeing what was in front of them. They lost and saddly some lost way too much, because they refused to open their minds and see.

It is a difficult thing to step out of ones own preconceived ideas and try to really see what is there....

First off, Rusty, fun posts/replies to your original comment/post. Certainly something i ponder upon quite often actually. I have a handful of good reads in my library on QP, my most recent read titled; "Biology of Belief" [Lipton]. . .the basic jist being that our "Belief" has more to do with our physical being than our DNA, facinating read. Scott, your snip above reminded me of something i'm attempting to work into my chart setup. I'm trying to get as "Naked" as i can while trading ; ) In other words i'm trying to bring my charting down to as bare bones as my personality will allow at this point in my trading development. My experimenting is based on much of what you two have mentioned actually, and i find the conversation timely. I've gotten to the point where no matter what time frame one wants to trade off of, there will be another time frame that has a totaly opposing "trend"...it really is an interesting idea. And though i do believe there is truth to the Ocean, River, Stream idea in finding direction, i still grapple with the idea that without the melting snow creating the stream, there would be no river, and possibly no ocean. So where does the "trend" begin? But i ramble.

Oh, i was of the group that got some pips going down...
...and then got some going up : - )

Boy what a day!
Thom

Actually quantum physics is the study of the behavior of sub-atomic particles. Quantum theorists use probabilities only to guesstimate those behaviors.

This isn't Quantum Mechanics, its Descartian epistemology.

We can debate the philosophical value of Descartes' insight, but it won't alter the reality that even were you not to believe the baseball bat in my closet exists, if I hit you in the face with it your probably going to die.

Now this has some value. This is the general problem that inexperienced traders grapple with. They can't see the salt, not because it doesn't exist, but because they can't perceive it for some reason or another.

The solution your trying to convey is that we can alter our perception of the market and somehow make it conform to our expectations; We just need to try hard enough. This is absolute nonsense. To become successful one definitly needs to change their perception, but not in the way you describe. The perception change comes from gaining insight through education, not "wishing harder".

You're on the right path, but the side-street your looking at is a dead end.

Have you actually considered that here you can meet a person with MSc in physics? Pls, do not lie

Do not confuse people.

Yeah, in quantum physics we are talking about probabilities. But in the world of elementary particles. And you can not generalize it so simply on "our" macro world. It makes no sense.

Oops, you were the first. And completely right.

Scott, Thom, WTF's going on here? I think the original idea of a beer is better!

just ramblin'

On a personal note, QP pondering gives me a warm fuzzy feeling ; - ) that somehow in the mix of things (creation/universe) that there is in fact more going on than meets-the-eye. That in some way we as individuals can interact on a "spiritual" or metaphysical level even if our concious minds do not realize it at a given moment. Coming from a Christian standpoint, this "interacting" aligns with my interpretation of a particular passage that states that the "spirit" is in contiual communication in prayer. Three of my fav.QP books are from an Israeli born physicist (Schroeder) who wrote one called "The Science of God" and "Genesis and the Big Bang", both interesting reads. Anyway, QP has many facinating implications to our daily living and is certainly worth the read/time.

Bottom line? It's all fun : )

Hey Rusty,
Thanx For the remind,
I sometimes forget that what we really are,
as AWARENESS,
is infinite possibilities,
Therefore, what you are saying really hit the spot
cheers

Yes, I know what you mean. It's all pretty incredible isn't it! And it's all inside us as well. We are that incredible infinite possibility. So it always saddens me (for them) when people are negative about possibilities.

The Dancing Wu Li Masters: An overview of the new physics by Gary Zukav is a good read also.

Not that I have a big back ground in these things but I really liked it.

I wasnt confusing anyone - actually i was trying to put this great science into layman terms....

I study Mathematical sciences at university. Im no professor.

Glad you enjoyed the post!!

It certainly has helped me in my trading!!

by a long shot!

Have fun!

And for everyone that tells you, you cant - dont believe them!

Power vs Force is a terrific book and the theory is relative to this discussion. I talks about how the state of wanting is a method of forcing while acceptance and and love and neutrality and much more are states of power. These influence our levels of awareness therefore influnecing our experience and interaction with the universe. Most often we all have a tendency to get this confused. Reciprocity in this universe is uncanny.


Here's a neat example as I was told:

It's like the 16 year old who goes into bar trying hard to get a drink. He's wanting and forcing it. He could also do other things like threaten (anger), or bribe, or get desperate (fear).. Everyone can sense this guy is not old enough to drink (universe reciprocating a not wanting- yin/yang type of thing)

While a 25 year old goes into a bar and it's no big deal and so he gets a drink easily. He's neutral, accepting.

Read the book and if you want ot explore this more, I posted a guys website on the NLP thread who is incredible with this stuff. I don't like posting a ton of stuff cause it's market-ish. PM if you want to know more.

Dan.

Oh, and try to notice the above example between a Newbie trader and an experienced one. Nice little head game there.

Is it by: by David Hawkins???