Tuesday, August 2, 2011

Joe Weisenthal has a technical chart for us

He is working on transportation, considered a leading indicator as in the Ceridian. His point is that we are ready for a retracement beck to a lower level.

The point I want to make is that running the Adaptive Huffman encoder would find the aggregates in the chart, the retrenchment points. It is the Shannon equivalent of ray tracing, and more accurate.

And further, finding the mutual entropy between these stock selections and the Ceridian gives an indicator of how the stock market should be encoding these prices and locates arbitrage opportunity. This is a unique situation since the Ceridian provides field based measurements of transportation.

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