Formation Strategy
Sun Tzu said:
Managing the numerous
is similar to managing a few.
It is a matter of communications.
A contest with the numerous
is like a contest with the few.
It is a matter of masterful positioning.
The entire force must be able to act
on the opponent without losses.
It is a matter of surprise.
Oscillation
I have managed to make some progress with JAVA server, yet still some way to go up there. Meanwhile, I have decided to get back to roots and check things that I have found.
Here it is, the amalgamation of it - the Oscillation indicator. It is not perfect yet - it can't get into the past, yet I found it interesting in predicting the future.
More about it after getting in with the facts of the past. I need them right in front of me to NOT loose a direction.
A physical object (a possible referent of a concept or word) is considered concrete (not abstract) if it is a particular individual that occupies a particular place and time.
So, the broker verifies if you are CONCRETE (NOT ABSTRACT). Only then you are allowed to gamble an abstraction.
This implies that an abstraction needs a concrete object. So THE BROKER can be considered physical - if you get a physical letter from the broker. Then you exchange information from this letter via quantum medium - internet - and begin your session.
As many other citation this one is from the much beloved wiki.
Gambling has a specific economic definition, referring to wagering money or something of material value on an event with an uncertain outcome with the primary intent of winning additional money and/or material goods. Typically, the outcome of the wager is evident within a short period of time.
Something that I need. I don't want to wait for years.
Investments are also usually not considered gambling, although some investments can involve significant risk. Examples of investments include stocks, bonds and real estate. Starting a business can also be considered a form of investment. Investments are generally not considered gambling when they meet the following criteria:
* Positive expected returns (at least in the long term)
* Economic utility
* Underlying value independent of the risk being undertaken
Some speculative investment activities are particularly risky, but are still usually considered separately from gambling:
* Securities derivatives, such as options or futures, where the value of the derivative is dependent on the value of the underlying asset at a specific point in time (typically the derivative's associated expiration date)
* Foreign currency exchange (forex) transactions
* Prediction markets
So, since forex transactions are liminal to gambling we can safely use casino at the starting phase.
Next, METATRADER. I got mine from FIBO group. I found that the data it provides to DEMO VIRTUAL money accounts is consistent enough for me to use. You may use any metatrader you like.
What is wrong with metatrader. At first it is a software that you download and install. It may contain trojans. You may have problems installing it on Vista.
Download it and open demo account. You are now able to enjoy all the beautiful graphs of the currency quotes. Do you have the trojan? I don't know. But it is THE SOFTWARE. Read the manuals and find out how to setup downloaded indicators.
Through the promise of gain,
an opponent is moved about,
while the team lies in wait.
I am trading/predicting EUR/JPY pair.
JPY is a carry trade currency.
The term carry trade without further modification refers to currency carry trade: investors borrow low-yielding and lend high-yielding currencies. It tends to correlate with global financial and exchange rate stability, and retracts in use during global liquidity shortages.
The risk of carry trades is that foreign exchange rates will change with the result that the investor will then have to pay back more expensive currency with less valuable currency. In theory, according to uncovered interest rate parity, carry trades should not yield a predictable profit because the difference in interest rates between two countries should equal the rate at which investors expect the low-interest-rate currency to rise against the high-interest-rate one. However, carry trades weaken the target currency, because investors sell what they have borrowed, and convert it into other currencies.
As of early 2007, it is estimated that as much as US$1 trillion may be staked on the yen carry trade. Since the late-1980's, the Bank of Japan has set Japanese interest rates at extremely low levels making it profitable to borrow Japanese yen to fund activities in other currencies. Many of these activities included things like subprime lending in the USA, but also include funding of emerging markets, especially BRIC nations and resource rich nations.
2007-2008, Chinese yuan strengthening allows yen to rise, unwinding the carry trades, tipping off subprime crisis in US. Yen surges from 123 to 96 per dollar, beginnings of a new endaka fukyo.
Endaka (円高, lit. high yen) or Endaka Fukyo (high yen recession) is a state in which the yen is high, or valuable compared to other currencies. Since Japan is highly dependent on exports, this can cause a recession.
Movement
Sun Tzu said:
Good tacticians who are skilled in conflict seek to direct others.
He employs competent men who are like rock in directing, that remain stable when on a flat surface and roll when placed on a slope.
Those skilled in conflict who direct through others,
seems to charge like round boulder
as if falling down a cliff.
Just a note to myself: I should really get deeper into the math.
Oscillation.
The many-worlds interpretation or MWI (also known as relative state formulation, theory of the universal wavefunction, parallel universes, many-universes interpretation or many worlds), is an interpretation of quantum mechanics. Many-worlds denies the objective reality of wavefunction collapse.
I have been watching currency for a long time with an idea to make bets on forex.
Since money is an abstraction, I have to find abstract ways to make money. Because if I make money doing simple work like programming, moving weight, doing some paper work or resolving problems with customs or anything else - I am trading my time for someone doing decoherence of an abstraction and giving it to me in one form or another.
The simplest way to see that the many-worlds metatheory is a local theory is to note that it requires that the wavefunction obey some relativistic wave equation, the exact form of which is currently unknown, but which is presumed to be locally Lorentz invariant at all times and everywhere. This is equivalent to imposing the requirement that locality is enforced at all times and everywhere. Ergo many-worlds is a local theory. Another way of seeing this is examine how macrostates evolve. Macrostates descriptions of objects evolve in a local fashion. Worlds split as the macrostate description divides inside the light cone of the triggering event. Thus the splitting is a local process, transmitted causally at light or sub-light speeds.
—Michael Clive Price
In linear algebra, two vectors in an inner product space are orthonormal if they are orthogonal (their inner product is 0) and both of unit length (the norm of each is 1).
Orthonormality
Why do I stress MWI and all those vectors?
Those who can travel a thousand miles
without problem, travel where others
are not situated.
I am insane. I think that virtual money trades and real money trades are physicaly different.
Yes, I postulate that since money are an abstraction and since they are used to manifest things that they are NOT - they have an ability to decoherence wave function of your reality.
Money have an ability to change the probability of certain things and events happening in your life to some degree.
Since virtual money does not have this probability - the quantum interaction between entities will be different.
!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Theorem (1). (in the making requires more work)
Virtual Money are NOT EQUAL to Real Money
therefor interaction with Virtual Money
will NOT produce the SAME results
as with Real Money
!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Since MONEY=ABSTRACTION
We now have virtual abstraction and real abstraction.
From C++ manual:
One of the key features of derived classes is that a pointer to a derived class is type-compatible with a pointer to its base class. Polymorphism is the art of taking advantage of this simple but powerful and versatile feature, that brings Object Oriented Methodologies to its full potential.
A member of a class that can be redefined in its derived classes is known as a virtual member. In order to declare a member of a class as virtual, we must precede its declaration with the keyword virtual.
So, I can think that virtual money is an object derived from real money with some of its functions that were declared as virtual being redefined.
The term virtual is a concept applied in many fields with somewhat differing connotations, and also, differing denotations.
Colloquially, 'virtual' has a similar meaning to ' quasi-' or 'pseudo-' (prefixes which themselves have quite different meanings), meaning something that is almost something else, particularly when used in the adverbial form e.g., "He's virtually [almost] my boyfriend". The term recently has been defined philosophically as, that which is not real, but may display the full qualities of the real.
So, since we are playing with virtual money they MAY display the full qualities of the real (under some circumstances).
Numerous philosophers have advanced conceptions of the virtual. Most prominent of these in contemporary philosophy has been Gilles Deleuze, who uses the term virtual to refer to something that every object carries with it, which is neither its reality, nor merely what it could have been, but rather what it is imagined to be. "Virtual" is therefore taken to mean a potential state that could become actual. "Virtual" is not opposed to "real" but opposed to "actual," whereas "real" is opposed to "possible." This definition, which is almost indistinguishable from potential, originates in medieval Scholastics and the pseudo-Latin "virtualis".
Recently this conception of the virtual has been challenged and another core meaning has been elicited by (Denis Berthier, "Meditations on the real and the virtual" — in French), based on uses in science (virtual image), technology (virtual world), and etymology (derivation from virtue — Latin virtus). At the same ontological level as "possible," "real," or "potential," "virtual" is defined as that which is not real, but displays the full qualities of the real — in a plainly actual (i.e., not potential) — way. The prototypical case is a reflection in a mirror: it is already there, whether or not one can see it; it is not waiting for any kind of actualization. This definition allows one to understand that real effects may be issued from a virtual object, so that our perception of it and our whole relation to it, are fully real, even if it is not.
Objects in Mirror Are Closer Than They Appear.
This is a good statement among others. I think that it might help us to better understand the mechanics.
Reducing the enemy's numbers
Sun Tzu said:
The location to initiate a challenge must not be made known therefore our enemy must prepare in many places and will have few troops at the location where we can initiate a challenge.
Even when opponents are numerous they can be subdued. Through their maneuvering, learn their calculations for gains and losses.
Through their action, learn their policies for movement or silence.
Through positioning, learn their area of desperation and security.
Through contact, learn where they possess surplus or inadequacies.
Through measuring the strategy of others
it is said that victories can be managed.
Strategic Positioning
Sun Tzu said:
The ultimate positioning strategy is to be without an apparent position. Without position, the best intelligence is unable to spy and those who are clever unable to plan.
Positioning should be a reaction to infinite variations and work out according to the changing conditions.
Just as water has no fixed form, strategic positioning evades reality and confront through illusion. Therefore, strategy follows the opponents and systematically be victorious.
As water has no absolute position. The strategy has no absolute direction. A genius tactician is someone who can win according to the changing conditions of the opponents.
A good strategy is as versatile as the five elements; metal, wood, water, fire and earth. Wherein non of them is absolutely dominant.
There are no hard and fast rules on good strategy.
It has to be as versatile as water, which changes
course according to the ground.
There is no formula for good positioning.
Always avoid the powerful and attack the weak.
Be ever ready to change strategy according
to the changing conditions of the opponent.
*************************************
The Real is a term used by the psychoanalyst Jacques Lacan in his theory of psychic structures. There is also the Symbolic order and the Imaginary order. This order is not only opposed to the imaginary but is also located beyond the symbolic. Unlike the symbolic, which is constituted in terms of oppositions such as "presence" and "absence", there is no absence in the real. The symbolic opposition between "presence" and "absence" implies the possibility that something may be missing from the symbolic, the real is "always in its place: it carries it glued to its heel, ignorant of what might exile it from there." If the symbolic is a set of differentiated signifiers, the real is in itself undifferentiated: "it is without fissure". The symbolic introduces "a cut in the real," in the process of signification: "it is the world of words that creates the world of things." Thus the real emerges as that which is outside language: "it is that which resists symbolization absolutely." The real is impossible because it is impossible to imagine, impossible to integrate into the symbolic order. This character of impossibility and resistance to symbolization lends the real its traumatic quality.
~~~
Although the Symbolic order is an essentially linguistic dimension, Lacan does not simply equate the symbolic with language, since the latter is involved also in the Imaginary and the Real. The symbolic dimension of language is that of the signifier, in which elements have no positive existence but are constituted by virtue of their mutual differences. It is the realm of radical alterity: the Other. The unconscious is the discourse of the Other and thus belongs to the symbolic order. Its is also the realm of the Law that regulates desire in the Oedipus complex. The symbolic is both the "pleasure principle" that regulates the distance from das Ding, and the "death drive" which goes beyond the pleasure principle by means of repetition: "the death drive is only the mask of the symbolic order." This register is determinant of subjectivity; for Lacan the symbolic is characterized by the absence of any fixed relations between signifier and signified.
~~~
The basis of the Imaginary order is the formation of the ego in the "mirror stage". Since the ego is formed by identifying with the counterpart or specular image, "identification" is an important aspect of the imaginary. The relationship whereby the ego is constituted by identification is a locus of "alienation", which is another feature of the imaginary, and is fundamentally narcissistic. The imaginary, a realm of surface appearances which are deceptive, is structured by the symbolic order. It also involves a linguistic dimension: whereas the signifier is the foundation of the symbolic, the "signified" and "signification" belong to the imaginary. Thus language has both symbolic and imaginary aspects. Based on the specular image, the imaginary is rooted in the subject's relationship to the body (the image of the body).
~~~
Sun Tzu said:
With advance information, costly mistake can
be avoided, destruction averted, and the way
to lasting victory made clear.
Subtly, very subtly, do not
neglect the use of intelligence.
A commander who does not want to buy information is not a good leader, hence, can never win in battles.
Foreknowledge enables a wise ruler and good commander to be victorious, and produce useful achievements for the people.
Foreknowledge cannot be obtained through spirits, supernatural, nor superstitious means. It cannot be projected through effort, nor verified through measurements.
They can only be obtained
from those who have a through
knowledge of the enemy's conditions.
Intelligence is the most important work, because
the entire force relies on it for every move.
It is the essence of strategy.