Investment
Model
CAT
{ Catastrohic Levels }
Author : Marcin ¯ak
©
Table of content
- Introduction
- Metastock CAT indicators list
- Metastock CAT Experts list
- Metastock system testers list
- How to use
- Conclusion
§ 1. Introduction
CATastrophe Theory
quote[1]
In mathematics,
catastrophe theory is a branch of bifurcation theory in the study of dynamical
systems; it is also a particular special case of more general singularity theory in geometry.
Bifurcation theory studies and classifies phenomena characterized by sudden
shifts in behavior arising from small changes in circumstances, analysing how
the qualitative
nature of equation solutions depends on the parameters that appear in the
equation. This may lead to sudden and dramatic changes, for example the
unpredictable timing and magnitude of a landslide.
Catastrophe theory, which originated with the work of the French
mathematician René Thom in the 1960s, and became very popular due to
the efforts of Christopher Zeeman in the 1970s, considers the
special case where the long-run stable equilibrium can be identified with the
minimum of a smooth, well-defined potential
function (Lyapunov function).
Small changes in certain parameters of a nonlinear system can cause
equilibria to appear or disappear, or to change from attracting to repelling
and vice versa, leading to large and sudden changes of the behaviour of the
system. However, examined in a larger parameter space, catastrophe theory
reveals that such bifurcation points tend to occur as part of well-defined
qualitative geometrical structures.
In mathematics,
catastrophe theory is a branch of bifurcation theory in the study of dynamical
systems; it is also a particular special case of more general singularity theory in geometry.
Bifurcation theory studies and classifies phenomena characterized by sudden
shifts in behavior arising from small changes in circumstances, analysing how
the qualitative
nature of equation solutions depends on the parameters that appear in the
equation. This may lead to sudden and dramatic changes, for example the
unpredictable timing and magnitude of a landslide.
Catastrophe theory, which originated with the work of the French
mathematician René Thom in the 1960s, and became very popular due to
the efforts of Christopher Zeeman in the 1970s, considers the
special case where the long-run stable equilibrium can be identified with the
minimum of a smooth, well-defined potential
function (Lyapunov function).
Small changes in certain parameters of a nonlinear system can cause
equilibria to appear or disappear, or to change from attracting to repelling
and vice versa, leading to large and sudden changes of the behaviour of the
system. However, examined in a larger parameter space, catastrophe theory
reveals that such bifurcation points tend to occur as part of well-defined
qualitative geometrical structures.
unquote[2]
§ 2. Metastock CAT indicator list
CAT indicators / decision lines are mentioned below :
Picture no 1. Metastock CAT
model indicator list.
§ 3. Metastock CAT Experts’ list
Metastock CAT model experts’ list is mentioned below :
Picture no 2. Metastock CAT
model experts’ list.
§ 4. Metastock CAT system testers’ list
Metastock system testers’ list is mentioned below:
Picture no 3. CAT system
testers’ list.
§ 5. How to use CAT model
CAT Investment Model should be usd
always there, where we deal with enough liquidity exchange markets, although
there is no reason to give up any trials on the other ones. The universalism is
taking its roots from the formula, that puts most weight on price and not the
volume.
How to proceed with the model in Metastock ?
- start the system test[3]
Picture no 4. Test results for
DJIA 30 index, 1000 of 15 minutes intervals.
- Read
the preferable OPT1 [optional OPT2] value.
- Open
the indicator from the indicators list , open it and write the preferable
OPT1 [optional OPT2 ] value in default number place as described on
picture no 5.
Picture no 5. Change of
default indicator value as OPT1 [OPT2 optional].
- Open
the chart with the same bar number as per test procedure
Zdjêcie nr 6. Otwarty wykres DJIA w czasie 1000 okresów 15
minutowych.
- Overlay
indicator and expert on the chart. Adjusting
takes place immediately.
Picture no 7. DJIA 30 chart
with CAT Passive HL indicator lines.
Picture no 8. Expert CAT
Passive HL on DJIA 30 chart with z CAT
Passive HL lines. Automatic
adjustment[4].
- Any
market order takes place on opening of next chart bar.
§ 6. Conclusion
Congratulations. You have fully functional high-specialized
statistical product, ready to use with Metastock EOD and Pro [Intra Day].
Please use the model with investment discipline.
We wish you high profits in any time.
©