Numerical analysis

Hello all i will be starting a new way or ways of analysis with numbers so your help will be most appreciated
In this thread i will discuss and show a numerical analysis way or it will be many ways .i want to put some rules at first .any one will trade the this analysis predication should use demo only because it is still under development and evaluation . also any one have the right to take learn and if he reached new ideas or rules he can share them or keep them it is up to him .under no any circumstances no need to say irresponsible words or show bad behaviors in this thread .
we are all here to learn and share experience what ever it is small it might mean something for some one .
i don't want to put so many rules i don't like rules as many else but they organize our life so we will live with it .

I will talk about numbers a little bet and show how they are important in our life .i know many knows that but knowing is something and realizing is some thing else .
numbers are used to count it is a simple thing .if we don't have numbers we are not able to know how old we are or how much we own how much we spend and eventually how long we can survive .
numbers are also important to design physical things around us cars plans trains ships buildings and every thing in this world need numbers to be done .we use them to measure things and define them you can measure your bi muscle to see how many inches you gained from training . you can measure your waist size to see what fit you when buying new cloths . you look at the clock at morning when you weak up to see what time it is .you even can set your alarm at a certain time .

OK lets don't make this longer numbers are so important as we know and can see if you want to know more about them you can search Google or look at this link http://www.archimedes-lab.org/numeral.html for history of numbers .

IN Forex we are dealing with numbers and they are what we look at every day numbers appears in prices .
numbers appears in our equity .profit ,loss time and the list is long .

we are processing this numbers every day we don't concentrate in this process because it a normal that what we do .

i think we are wrong in taking this matter so simple we should think about how we do look at numbers and how we deal with them .

i started to look at numbers studying them and i found many things about numbers that many don't realize .

i found that numbers have patterns .what is pattern .(it is as i can explain from my view only
a special way that things can follow it can be repeated or having a special equation that make it and off course if you find about it more and make rules you can predict what this thing will follow and do in future .

we have a lot of patterns in nature .our behavior can be a pattern that is known by many .

we have many patterns in numbers also that were observed and studied by researchers .

we have Fibonacci numbers .Fibonacci numbers are divided to golden Fibonacci numbers and Fibonacci numbers .

to know more about Fibonacci you can search Google or look at this link http://en.wikipedia.org/wiki/Fibonacci_number

we have the Lucas numbers it is a pattern too

to know more and better about numbers and Fibonacci i advice to look at this site http://www.maths.surrey.ac.uk/hosted...nacci/fib.html


we are here to discuss a way to use such rules in our trading .

i started a long time to watch prices and try to find patterns in it that will indicate what the price will do next time .
i used simple rules like if the price reached singular digits in up trend in a new price level and started to retrace i then look to short i stared to observe highs and lows .
i know in such a market as Forex with different prices feeds you will find it difficult to reach a rule that you can follow but at the end patterns do exist and i kept on trying i tried to watch all digits and numbers trying to find a pattern that i can follow in my trading .
i took some trades i made them right some times and i lost some times .

i was trying to reach a level that i can just trade with looking at digits and take right decisions

i believe i can do it and reach such a level in my trading .may be there will be a mistake percentage but if profit can over win loss i will be in the right way

i have many ways of analyzing numbers .
i am using a promising way now but still it needs using of charts and certain tools .

but it is so good and promising i consider it the first step to my way to reaching high levels as i imagine and want .

i started a thread in Arabic in an Arabic forum before two weeks and made many predication by this method and about 70% were right .

what prevented me from starting the thread here all this time my English language .i am not fluent as you can see although i have spent some time of my early life in an English mother language talking country .
you can see what i mean by not fluent

but i will do my best what i always do to make you understand numerical analysis the way i do .

i will be adding notes to this thread and my numerical analysis method rules in coming posts .

please feel free to add your opinion

all have a nice day

you can use e http://www.openoffice.org/ for excel sheet

Lets start with knowing little about numbers and numbers patterns .

we should memorize some information from this post and should understand and realize some of it .


we will start by simple numbers

numbers starts from zero until 9 this are the major numbers and digits that what make all numbers we have .
you can not add to them you have them only .

as we can see they are consist of 10 digits

0 1 2 3 4 5 6 7 8 9

now we want to study this simple numbers more and more .

we want to find relations between them and from relations we can find patterns .this is the idea .

then we can use patterns in our predication in many things as i will explain later on .

looking at them we can reach a first simple relation

it is that to reach the next digit in this simple sequence you should add one 1 any time you need the next digit

you can not reach 9 from 4 or 3 by adding one you should use the previous digit before 9 which is 8 and add 1 to it to reach 9

we are starting to understand this simple chain more and more

it consists of 10 digits and have a relation that is described by previous plus one = next

so we can say p + 1 = n

this is two relation

we can look at this simple chain from another angle

put it in an opposite sequence

like this

9 8 7 6 5 4 3 2 1 0

and try to find relations in this sequence

the first relation or rule is still applied they are still 10 digits

but the second relation is changed to reach the next number you need to subtract one

so to reach 8 from 9 you need to subtract one the rule in first sequence was to add

we have this rule now previous - 1 = next depending on this opposite sequence .

we have a relation now

simple relations . we have reached

in a normal sequence you need to add one to reach next digit .
in an opposite sequence you need to subtract one to reach next digit .

OK we found a rule and a pattern and we use it every day

kids use it and learn it at start of there learning stage .

we should realize this pattern or lets say it is a rule now .

we will read this post many times to realize what we can reach from such a rule

all have a nice day

from our last post the simple number sequence full sequence have two relations depending on the sequence applied

if we use normal sequence we have 10digits as relation and previous + 1 = next or p + 1 = n
in opposite relation we have have 10 digits as a relation and previous - 1 = next

we can say that 10 = (previous + 1 = next) or 10 = (p + 1 = n)

we also can say that 10 =(previous - 1 = next) or 10 = (p - 1 = n)

(p + 1 = n) = (p - 1 = n) = 10

we will take the common factor out and we will have this

( p+1 = p - 1 )n = 10

we then have ( p - p = 0 )n

(0)n =10 so 0 = 10

from this relation we have important logic that zero = 10

we have three relations now zero , 1 and 10

this are three digits

1 2 3

or let say

0 1 1

and this are the three numbers that make Fibonacci numbers rule
you start with zero

you add the two previous number to get the next number

so you have 2 numbers and you get one number 1

this is the relation of Fibonacci numbers 0 1 1

if we look at it it consists of zero

and 1 repeated two times so we 1 as relation and 2 as relation

we have three digits 0 1 1

we have now the complete numbers and relations 0 1 2 3

i consider this four numbers the basic numbers that can be used to analyze any thing in this world

we will look at Fibonacci numbers now

they are

o 1 1 2 3 5 8

you start with zero and you start adding the previous number to reach the next

from this we get that 0 + 0 = 1

so two zero = 1

we mark zero as f from factor

so 2f =1

this is a rule we will use in our analysis that two factors equals one a positive digit

this is all logic

let go back to Fibonacci numbers

0 1 1 2 3 5 8 13 21 34 and so on
you add two numbers to get the next

we have a similar rule here with our previous rule 2f=1

so we can say that factor is Fibonacci because two Fibonacci = 1 Fibonacci

we have a rule now or a pattern

one represent a positive digit and also from logic it represent a logical result

if you have 1 from any thing that you do you are are in the right way .

that why they built logic systems in using 0 and 1 only it is called binary logic

0 means false and one mean true we will use false as missing and true as aquired or known

0 = 2f and 1 = 2f so they both have a value but differ in meaning and result

we will use the same logic if we find zero as a relation it will be false result we will look for the 2f or two factors

if we found one from a relation it will be a positive result that can count on .

so 0 means 2 factors

1 means result or fact we can relay on .

this is relations we will use in our analysis .


from previous though we have

0 1 2 3 as major relation numbers

0 is false which represent 2 factors we should look for to realize positive fact

1 is a fact .

from 1 + 2 = 3

we realize that one fact + two factors = 3

two factors = 3 - one fact

2f =3- fact
1 factor = (3-fact)/2


we also know that fact = factor so we can say that 1 = (3-fact)2

fact = factor also

fact = (1 -3 )*2
so a factor = (fact -3 )* 2

we have many relations now

zero = 10 as a fact so we can apply 10 as a factor too because factor = fact

zero = 2 factors = 2 * 10 = 20 so we can apply 20 as end value of false result to analyze it .

one factor = (3-fact)/2

1 = (3-fact)2

10 = (3-fact)/2 10 as a factor

1= fact

20 = 1 as a fact

factor = (fact -3 )* 2


this are all logical variable that we can use to do our analysis

we have 0 1 2 3 as numbers that we will use for our analysis as tools

we will add 10 as a general factor

we have zero as false result consists of two factor so 10 + 10 = 20

we have 20 now also as a zero logical end value

we have 1 as fact

we will organize things

we have 10 as factor and fact
we have 20 as fact
we have 0 1 2 3 as tools
we have this equation
factor =(fact- 3)*2
we have fact = 1 = factor

applying this rules to numbers will help us in predicting prices . future prices i think



i need all to read this post and think of it realize it memorize it if you can and we will continue after that

notice :-this post was edited please read it again

all have a nice day

i could have gave you from start end rules and results and show you how to use it and say to you trade it
but i have preferred to show you how my analysis was built .may be you can add to it some thing .or get better rules
my IQ is good not high but good it was better i lost most of it because of certain circumstances

now lets talk about what we want from previous rules and fact equations to trade Forex

lets know some thing about Forex at first .

Forex is the most safe and predictable market in this world and most organized and logical market .
why it is hard for a lot to make profit from it and they loss .
because one fact they use leverage .if you trade with 1:1 you will only loss one cent in a dollar for a 100 pip move which is 10 $ from 1000 $ .
100 pip is a very suitable stop loss if you are afraid that you will have others trading against you and that dont happen for sure .
you can make a lot of gains from Forex market using only 1 :1 leverage gaining 100 pip a day you will gain 1% in a day .
let say that you will end with 2% per week so 8 % per month which is very good .
you can not find such profit from other markets .
so facts about Forex are wrong because attitude is wrong .it is like blaming a door not opening while you are using a wrong key for it .

we will go to what we want to know from this market .

in Forex we have tools to predict .we have charts .we have many indicators .we have Fibonacci tools also .

what we want to know always is where will the price will go so we can trade with it and gain profits .

in my previous post i wrote that we have a fact

zero is the missing fact we need and it equals 20 which are two factors depending on that a factor equals 10

off course all this is simple logic rules we had

we need know to apply this rules

we need to deal with price high or low as a missing fact or 0 or 20 in value or 2 f or 2 * 10

to predict some thing we need to make rules and boundaries .

we have 20 as our missing value so we can put it as a boundary that we will look at it can represent high or low so we will try to apply it to chart which is price in time .
but we need also to combine it with logic
so it is like drawing a field to work at and finding your solution
we will divide our chart to fields any field have a fact that we have a high or low in it and we need to know it
so this will represent 20 for us it is a fact but missing it represent 0 what mean for us missing value
we need know to make marks between this fields 20 then 20 then 20
we will use simple numbers they are true 1 2 3 4 5 6 7 8 9 values that will help us
so we will divide the chart to positive values from 1 up to what we want following our simple first rule
previous +1=2
between this values we will have 20 units as our missing facts
so we will have 20 fact in one true value
price moves with facts so we will always use this facts in our analysis as given true values the price should reach
if price failed to reach them it will be important to know how many points the failure was .
because price move is a fact and we have this marks as fact we can gain from difference between move and our true values facts also .
so imagine

we have a chart with lines 0 1 2 3 4 5 6 7 8 9 10 up to what you want
between every two numbers we have a 20 unit
so 1 - 2 we have 20 units ,2-3 we have 20 units and so on

if the price moved up from level zero to 3 and failed to reach 3 and ended some where between 2 and 3 we will consider the right value is level 3 and the fact is where it have reached
we then look for the value of the price at that point its height we already divided 2-3 square to 20 units

we will divide it to 0.05 ,0.1 ,0.15 ,0.2 and so on until 19.5

let say that to 2.15 so 3 out from 20 this is the move in field 2-3 3 units out from 20

price failed to reach 3 the true value and ended at 2.15 gave as a fact

a fact is a factor so we have 3 as factor and 17 as factor now both give us one truth missing truth which is 20

we also have difference as truth 3-2.15= 0.85 this is difference between the two value and fact

it is the 17 unit .

multiplying all with 20 will give us the true values that we will analyze with our tools

3*20 = 60
2.15*20=43
factor one 0.15 =3
factor two 0.85=17
we will use the equation now
factor=(fact-3)*2
so we have 3=(fact-3)2 so 3=2fact-6 so 3+6=2fact 2 factor = 9
we have also 17=(fact-3)2 so 17 =2fact-6 so 2fact =23

we have two variables

2factor =9
2factor = 23
what we looking for us the next price move

applying 10 as a common factor
f+10=9 f=-1
f+10=23 f = 13

we will have -1 as a factor and 13 as a factor from second one

we have two factors and one true value 2f=20
to get factor we 2f*f=f20
so we have -1 and 13 from 20 as a true value we will have difference as 8 which will be the missing fact value because it represent .
because we have 2factores =20
so (f-1+f13)f should be f20 f=f20/(-1f+f13) applying 10 we will have f=f20/(-10+130)=f20/120=10*20/120

=200/120 =1.66

fact equals 1.66 as we can see we had 8 as factor there and we have 1.6 now

let try it our 2.15 is a fact 1.66=(2.15-3)2 it is 1.66=1.7 you see it is a true value

this where the price should move to next time as a value a fact it is 1.66

so correction should reach 1.66

now will will talk how to apply this rules to chart to predict price place

Interesting thread. I look forward to following your logic.
I can follow some of the way through your desciption but get lost around here:

we will use the equation now
factor=(fact-3)*2

Need to study it some more.

What I also find interesting is that your proposal suggests the markets are ruled by numbers and the relationship between them. Whereas I suspect trader psychology may be more important.
The reason Fibs work is because traders can see the levels and so act on these levels giving them "power".
Will be interesting to see where proposal takes us in relation to trader psychology.

Thank you for your post my friend i hope you will find this thread useful
if you read the first two post you will see that i reached the equation with simple logic
i defined my battle field with 20 after getting it from facts that 0 =10 as logic when you multiply with 10 you just add 0 so if it is 10 it will be 100 you see
but from Fibonacci we get that 0 = 0+0 how we get that
look at Fibonacci 0 1 1 2 3 until last Fibonacci number

you see first two numbers 0 + 1 = 1
if we took a backward sequence 1-1=0 as sequence and as logic so we have 0=0
we have 0 as Fibonacci number you should subtract it from a number to have 0 and it will be 0 it is logic
so 0 +0 = 0
and that why i took 10+10 = 20 my battle field i am trying to reach right values at .

about market and numbers

my friend number define and control every thing

yes psychology will move but at the end it is numbers also and numbers have relations .

we are trying to find this relations and there rules so we can use it .

i still have many things to say we still didn't use our most important tools
which is 0 1 2 3

this numbers shows us relation in a great way i will talk about it later

all have a nice day

i have many positions now in my account i will be back later on to complete the thread .
all feel free to discuss what i have wrote
all have a nice day

i advice all traders to take breaks and i would like to suggest a site that you will find fun to look at and interact at and spend your breaks gain from it and have refreshment from it
http://www.mathsisfun.com/index.htm

this is the site

all have a nice day

Hi all

any questions you have i can answer before proceeding

i think you all need to understand what i have wrote and realize it .i will have a couple days as off and come back later to see what you have reached .
all have a nice day

How is the time element factored into this analysis?

Hi blackstack

time is not included in this previous analysis .
but it also can be included by using the same equation .
but you need to choose the start point at first and that what really matters .

i predicted the movement of EURJPY today with this equation .it gave me 128.822
the eurjpy made a 128.84 high in altrade platform.

i will give you a predication for eurjpy now and observe it please don't trade it unless you want to trade it demo

because it just a predication

the eurjpy should make a high of 129.86 from here .

then correct to 128.55

from there it should go up to 131.34

this all the predication i made today please observe it don't trade it .

making predication is not so easy you need to apply many rules that why i only predict what i am trading .

about time you apply the same rule with it but you need to define a battle field for it

60 units will be OK so it is 60 minutes if you need to make it with seconds you need 3600 unit to apply equation .and then use time with it .it will take longer time to analyze but you will end with good results i think up to a second .

unfortunately i don't have enough knowledge to program this equation

but if some one succeed in that .made a powerful program that use this equation with all its variables he could rule this world in my opinion

have a nice day

this prediction could be slightly different from fact because i used a fast analysis way i did not apply the equation as a whole for all factors and facts as i did in the example it is so hard to do that and i don't have time for that with trading .
i have applied some other rules .
lets see what will happen
129.86 then 128.55 then 131.34
lets see how it do end
all have a nice day

It's good to see other traders who are interested in numerical analysis. I was experimenting with finding the square root of price then adding or subtracting in increments. Then square that number when I was using it with tops and bottoms of a swing. For example, take the EUR/USD. This month's low is currently 1.2744. Find the square root of the low which = 112.889. Then if going up, I would add, in increments of 0.25. So, 112.889 plus 0.25 = 113.139. Then I'd square that number which = 1.28004. (Pretty close to opening price). Then I'd subtract in increments of -0.25 going down. Like with the subject of price going in a 360 degree circle. Geometrical shapes, triangles, etc.... And in trigonometry, where the radian of 360 is 2, when evaluating common angles. Then with going up, in increments of .25 until I got to the number 2, (Pretty close to the monthly high, so far). Still experimenting with it, and taking notes. Just found it interesting. Looking forward to more of what you've found.

You lost me here, because p does not equal p
p+1=n
6+1 = 7

In the opposite order:
p-1=n
8-1 = 7

p does not equal p

Also, what happens when you get to the last number, for example 9+1= 10, and opposite last number
0-1 = -1. What do you do with -1, and 10? Both of which is not part of your 10 numbers


"from our last post the simple number sequence full sequence have two relations depending on the sequence applied

if we use normal sequence we have 10digits as relation and previous + 1 = next or p + 1 = n
in opposite relation we have have 10 digits as a relation and previous - 1 = next

we can say that 10 = (previous + 1 = next) or 10 = (p + 1 = n)

we also can say that 10 =(previous - 1 = next) or 10 = (p - 1 = n)

(p + 1 = n) = (p - 1 = n) = 10

we will take the common factor out and we will have this

( p+1 = p - 1 )n = 10

we then have ( p - p = 0 )n

(0)n =10 so 0 = 10 "

Hello my friend nice way to trade thank you for sharing it with use .
i started my numerical analysis from a a long time but i did not have an edge in it
i started by analyzing price digits lows and highs in to even and singular numbers .it was promising at start but suddenly it changed i don't know why .
as we see from my predication of eurjpy it is going to 129.86 now it will not pass this figure it may dont make 130 only this range 129.83 - 129.89 depending on the broker price feed
lets see what happen we are still far away
please all read well what i have wrote in pervious page you can apply this type of analysis to any thing in this world
all have a nice day

hi blackstack

you did not use the same numbers so you shoudl say p1 p2 and n1 n2

if you use the same numbers you will end with right value

you used 6 and 7 in first example then you used 7 and 8
you should use the same number with opposite sequence

so p+1=n 6+1=7
then p-1=n in an opposite sequence 7 will be at first so it will be 7-1=6
you see

and we only have 10 digits as you see

we have only this numbers
0 1 2 3 4 5 6 7 8 9 only this numbers


so 10 is not a included in the simple chain


about the -1 and 10

they are numbers so you can use them .

the chain i put simple chain was to make you understand that relations make patterns
and patterns make rules so it will be simple to get the rest of rules out .in coming posts .

about this part 10=(p+1=n)=(p-1=n) you are right it is confusing it is logic only

we found that our only 10 numbers which you can not add to them and they ar 0 1 2 3 4 5 6 7 8 9 have this

relation p+1=n to get 2 you take 1 +1 = 2 from this we get that this relation is boundered by 10 so we can say
10=(p+1=n) as a relation you get my point you need to put a p every time to get the 10 numbers it is logic simple logic .

why because this is a relation we found in simple chain

also in the opposite chain we have this relation

10=(p-1=n)

our 10 numbers i mean which are 9 8 7 6 5 4 3 2 1 0


to get any of our ten numbers you need to subtract previous from 1 to get next in opposite sequence


from this with simple logic e get that our 10 numbers = (p-1=n)

you get my point

all have a nice day

we have reached our target in eurjpy .
now it will be 128.55
demo only please
all have a nice day

we reached our first target it should bounce now to 128.55