I've been coming across more and more references to chaos theory and statistical analysis of various aspects of trading. We should learn more about these important topics. Apparently HG Wells observed:
"If we want to have an educated citizenship in a modern technological society, we need to teach them three things: reading, writing, and statistical thinking."
The experts on ASF often refer to various terms which scare the living daylights out of me from time to time (I am sorry to say this, but Wayne is the main culprit...), various terms like Black Swan, fat tails and Kurtosis suggest to the uninitiated that he is referring to either a person who is unloved or one with an exotic disease (probably unloved as well).
The following references have been helpful to me. Are there others that people have had first hand experience of that may be helfpul to traders and those studying financial markets? Please share, as I have, to get the ball rolling.
Most uni or tafe students studying maths, business or science would have some proficiency in this area (although many say the subject sux bigtime!).
- Trend Following by Covel (2005 edition- latest ed. The HG Wells quote is from Chapter 8 ).
Thanks in advance to everyone!