12 new topics on forum:
- When will a trader be allowed to make money?
- how can i get the highest after orderopenprice was opened.
- Indicator with all the gartly patterns with automatic calculated target.
We now know that probability density function (PDF) of a market cycle does not remind a Gaussian but rather a PDF of a sine wave and most of the indicators assume that the market cycle PDF is Gaussian we need a way to "correct" that. The solution is to use Fisher Transform. The Fisher transform changes PDF of any waveform to approximately Gaussian. This article describes the mathematics behind the Fisher Transform and the Inverse Fisher Transform and their application to trading. A proprietary trading signal module based on the Inverse Fisher Transform is presented and evaluated.