--- thomas malloy <[EMAIL PROTECTED]> wrote:
> I attended a sales lecture for a foreign currency > exchange (Forex) > predicting system last night. An economist came up > with a algorithm > based on the Fibonaci numbers. It is said to be > quite accurate. > My two brothers and some freinds have got involved with this 4x foreign currency program. Brother says to go gft.com and get dealbookfx2,(a better deal) in the settings you can set two or more triangular moving averages that mimic 4x's program. 4x wants some 2500 dollars? to purchase their software, but they let you use it for free on a trial basis for 30 some days. Apparently what this (4x) trial basis program does is give you practice in currency trading by using an imaginary sum of starting money and to see how you would do if this were reflected as actual monetary trades. What really surprised me was the fact that every time you make a trade, ( I think the program supposedly tells you when a currencies value is going to go up), the currency chart reflects this and seems to do the opposite effect, the value you are betting on to go up actually goes down instead. Since the value of the currency seems be reflected on who is betting on it to go up, this sounds very similar to what happens in racetrack betting. A horse may have a very high odds against winning a race, but once a significant amount of people bet on that horse, the odds change to a lower payoff. Sort of an insurance policy for the racetrack owners to never loose money by manipulating the odds payoff to reduce their potential payoffs. Now the first question that comes up with currency trading is this. Since the player in the program is only typically playing with thousands of dollars, and there is actually millions (or more)of dollars being traded; why does such a small bet act like it is actually influencing the value of the currency being traded? This didnt make any sense to me until I realized the following. What if there are thousands of other folks out there who are betting exactly like you are betting. What if the major players in currency exchange are doing the same thing you are doing? Then the thing starts to make sense and one can even go into conspiracy theories about this thought. What if the worlds major currency values are being manipulated by a world bank or some such thing like the IMF to their own advantage? Since the value of a countries currency is supposed to be based on that countries productivity or gross national product or some such word,(I am by no means an economist): could it possibly be true that outside manipulative forces be at work here? It seems to make sense that if a world bank gives a loan to a country; and then that countries currency is devalued: on the loan payback more currency is needed to satisfy the loan payback and its attendant interest; with the net effect that the banks profits are being maximized. Has anyone noted whether this is a popular conspiracy theory? Do some people think that the worlds major money lenders are involved in manipulating things to their own advantage? Sincerely Inquisitive; Harvey D Norris Tesla Research Group; Pioneering the Applications of Interphasal Resonances http://groups.yahoo.com/group/teslafy/
