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The Stock Market feat. Rational Integers
Transcript of The Stock Market feat. Rational Integers
How does the Fibonacci Sequence Relate to the Stock Market?
You are probably wondering Fibonacci? Stock Market? What? Well, the Fibonacci Sequence has been known to predict stock prices, which can be very helpful to brokers(or stock accountants) and companies trying to trade stock. Bigger companies rely on this because then they can try and trade stocks or sell stocks for more money, and then that makes the business successful, or in lots of cases, at an all time high. So, whenever you think about the stock market doing well, maybe it was because of the Fibonacci sequence.
The Stock Market
The stock market is a country wide trading market that people buy and trade, or sell stocks in. Many companies including Baird and Smith Barney are privately owned stock trading, and buying companies, and Google and Twitter are nation wide stock exchanges.
Have you ever heard of Wall St. in New York City? Well, Wall St. is like the stock trading area of the world, all Wall St. is about is trading, selling, and buying stocks. Our Nations stock trading is always counting on Wall St. so if there is something wrong there, there is something wrong with stocks everywhere.
Now, you can see the similarities between the Stock Market, the Fibonacci Sequence, and Rational Numbers. Life is much easier with these 3 key math "subjects", just ask Mrs. Bova, maybe she would know, I mean, after all, she did live in New York.
How does it relate to Rational Numbers?
The most common way that the stock market and Fibonacci relate to rational numbers is stated in an odd manner. Rational numbers are fractions, the stock market are decimals, and Fibonacci is a sequence of numbers. So, Fibonacci helps with stock trading, stocks are counted with decimals, decimals can be turned into fractions, which can be positive or negative resulting in a Rational Number. If you understand what I just said, you understand how all three connect.
The Integers and Fibonacci
Integers are rational numbers because you can write an integer as a fraction. Whether the fraction is negative or positive, if it is written as a fraction, it is a rational number.
The Fibonacci sequence is a series of number that you simply just keep adding together. For instance, 0, 1,1,2,3,5,8 and 13, are all a part of the sequence. Do you see how we just keep adding them together?