Previously, I’ve mentioned a few times in various threads something described as an “Unstable Periodic Orbit”.
In this thread, we’ll discuss these orbits and theorize about how these orbits may play a significant role in the Core Pricing Mechanism of the Financial Markets…
In this thread, we’ll discuss these orbits and theorize about how these orbits may play a significant role in the Core Pricing Mechanism of the Financial Markets…
First, what exactly is a Periodic Orbit in Nonlinear Dynamics?
Think of our main example - a Pendulum. One full cycle of a swing is the motion forward, and the motion backwards as it falls.
The completion of this movement is one cycle, or one orbit around its equilibrium.
Think of our main example - a Pendulum. One full cycle of a swing is the motion forward, and the motion backwards as it falls.
The completion of this movement is one cycle, or one orbit around its equilibrium.
The orbit above is that of a planetary orbit; These orbits are continuous and stable. They do not fall out of orbit or into a different one.
The movement of this orbit is entirely deterministic. The previous position defines the next when accounting for all Factors of Chaos.
The movement of this orbit is entirely deterministic. The previous position defines the next when accounting for all Factors of Chaos.
Now, an “Unstable Periodic Orbit” is something that orbits in an unstable manner; It orbits with Turbulence.
As an object orbits the attractor, it becomes unstable and falls into a separate orbit.
Visualize that of the Lorenz System in The Butterfly Effect.
As an object orbits the attractor, it becomes unstable and falls into a separate orbit.
Visualize that of the Lorenz System in The Butterfly Effect.
An “Attractor” in Nonlinear Dynamics is the point of Equilibrium in a System.
Put everything I just described together, and replace “orbit” with “Dealing Range”.
The Unstable Periodic Orbit of a Security is the Dealing Range discussed by @I_Am_The_ICT
Put everything I just described together, and replace “orbit” with “Dealing Range”.
The Unstable Periodic Orbit of a Security is the Dealing Range discussed by @I_Am_The_ICT
When price falls within a range, it jumps both above and below the state of equilibria - until it exits. It is constantly targeting the Attractor, until it becomes a Deflector.
When price falls out of this “orbit” - a new one is then created. This is pure determinism.
When price falls out of this “orbit” - a new one is then created. This is pure determinism.
Refer back to my previous threads on this subject; What have I always stated?
Orders can be described as Turbulence.
When orders become too heavy, too directional, and come in too quickly - you get Volatility. This is an extremely unstable state of Price-Action.
Turbulence.
Orders can be described as Turbulence.
When orders become too heavy, too directional, and come in too quickly - you get Volatility. This is an extremely unstable state of Price-Action.
Turbulence.
When Price is the least Turbulent, one can then assume that Price has reached some form of temporarily stable Periodic Orbit
This is the market intermittence I’ve been describing - price has temporarily shifted into a Stochastic state, before falling back into Chaos.
This is the market intermittence I’ve been describing - price has temporarily shifted into a Stochastic state, before falling back into Chaos.
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