Tuesday, August 17, 2021

Magic number 3 ? ......Is it or is it not?

We all learn that in any competition ... the outcome can be a DRAW ... if there are no WINNER. To have a winner it means there is NO draw but loser(s).

When we analyze a situation, there are only 3 POSSIBLE outcomes BUT only ONE will be the CLEAR finale.

Instead of trying to sub-divide classifications, 3 class of different groups is more than enough to determine the situations.

In the last article, I have briefly mentioned the 3 class or groups.

We need to have different 3 set of rules to accommodate the different intensity for each group ie. 

STRONG/Greater than 45 degrees .. 

NORMAL/45 degrees ... 

WEAK/Less than 45 degrees...

The rules of engagement for the 3 above will be different.

Like driving we will be traveling at different speeds depending on the traffic conditions and the road conditions. This is the DYNAMIC nature requiring different sets of rules.

What do we do with SPREADs and will it be a CALENDAR spread or INTER-COMMODITY spread???   

I will leave that for the next !!!!

 



 


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