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RE: I WAS going to write a post about KuCoin exchange but...

in #cryptocurrencies7 years ago

Oh wow. THAT was an eye opener! I just read the link (I haven't read the rest of your post yet) and I think I may have found the core of your chart disbelief bias.

It stems from the pattern recognition issue. The fact that you could draw lines on a temperature graph, on coin tosses etc.

Here is the difference between you and I (I think). You believe that these things are unrelated to trading. I don't.

My view may sound silly, but these things follow natural predictable patterns, the exact same way that trading does.

I firmly believe in applying the Normal Distribution to seemingly random events like this. I believe in Fibonacci patterns and fractals being applicable to stock markets, coin tosses, average temperatures and MANY other things. This article is worth reading https://en.wikipedia.org/wiki/Patterns_in_nature - it lists a few great examples. Sometimes the reasons for the patterns are simple enough to deduce e.g. why asteroids are found in bands and are not evenly distributed, sometimes they are impossible to determine at this stage (markets being a good example of that).

I will get to the rest of your post shortly and attempt to address any questions which I may have missed or failed to answer properly. But for now, sorry, but I must disagree with your post of "The Chart Delusion" at the fundamental level.

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