Traders use the set of fibonacci numbers to predict pricing structure in the market. But what really is happening is that traders are using finonacci numbers to predict the dimensionality of the portfolios of large broker firms. The detected changes in the market price that seem to obey F numbers, are those prices that occur when a large broker updates his portfolio. It is portfolio that obeys the fibonacci sequence, because a balanced portfolio is:
-iLog(i) i < 1, and the finite count of i is the portfolio dimension, the -Log(i) are typical prices.
Just something to jot down.
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