Why apply Chaos Theory to the markets?
In simple terms, chaos theory basically shows us that the markets are not as chaotic as they seem. There is an underlying structure and order that you can profit from when you know WHAT TO LOOK FOR. How Fractals work: A fractal pattern consists of five bars and is identified when the price meets the following characteristics: 1. A shift from a downtrend to an uptrend (bullish turning points) occurs when the lowest bar is located in the middle of the pattern and two bars with successively higher lows are positioned around it. 2. A shift from an uptrend to a downtrend (bearish turning points) occurs when the highest bar is located in the middle of the pattern and two bars with successively lower highs are positioned around it. Fractal signals are most useful when used in conjunction with other technical indicators, such as Fibonacci retracement or various moving averages. “Fractal Trading System” In Forex Our fractal system is a complete trading system in the Forex market. The system ori
