Maths!? There are some books for discussing/researching many new directions/developments of future maths concepts/theories that are beyond the existing framework, due to its current limitations. Sometimes I doubt if the existing maths framework can be good enough to mathematically and satisfactorily describe and resolve all our daily problems. Just a thought!
even more goedel's work seems to indicate that there can NEVER be a complete mathematical description of the world ... peace
Cheese I love your post. I think this is one of the most intelligent, very very smart, common sense post I have ever read on ET. Thanks
As I understand it, the market is an amalgamation of human behavior. The study of human behavior is deemed to be more of a "social science" than a pure or natural science. Mathematics is a pure science. Therefore, I don't think it is entirely appropriate to use mathematics as a predictive tool in the markets, which I infer to be the true nature of your question. On the other hand, mathematics/statistics are excellent "post-dictive" tools in that they explain what has already happened fairly well. Perhaps that is why curve-fitting and backtesting bring so much more joy than out-of-sample forward testing. If the market (i.e., crowd) were able (and willing) to follow a "deterministic mathematical model," then mathematicians would be the most successful politicians and world leaders, or at least they would be top advisors to them. I don't think we're there yet. As far as crowd behavior is concerned, I don't think that the path of least resistance has yet been replaced by the math of least resistance. Regards, Thunderdog
..I believe another way to express what you said about Boolean algebra is that a fuzzy logic approach works in the markets: if this greater than that, and not the other greater than yet another, etc.