Physics, in my opinion, is as much a valid study for those planning a career in the markets as is economics or business administration.

Why is this? The markets are non-linear, dynamic systems, subject to the rules of Chaos Theory. Market prices are highly random, with a short to intermediate term trend component. They are highly dependent on initial conditions. Markets also show qualities of fractals — self-similar in the sense that the individual parts are related to the whole. The structure of ripples, waves, and tides look similar; So do market charts on a hourly, daily, weekly and monthly basis.

In short, they represent all the factors associated with Chaotic systems. There’s a terrific introductory article on the subject here: Chaos Theory and Market Reality

I did a piece a few years ago (Angells & Blodgetts & Schrodinger’s Cat) on a related quantum subject which generated accusations of “my losing it” from most of the economists in my crowd; I simply believe that understanding Chaos Theory helps you comprehend why the markets can be so inscrutable.

Which brings us, as so many other things eventually do, to Dilbert:

How many comics can make a sly reference to the Heisenberg Uncertainty Principle and still be funny?

Not many:

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Category: Finance, Science

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

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