VORTEX AIMing

[Conrad]

Karw, Vortex Watchers,

On Random numbers: I have found a Random number generator that gives an output as shown below:

0,71321284
0,57623562
0,19959292
0,43717070
0,56658437
0,05042683 etc., etc.

I have not actually seen the number 1,00000000 nor 0,00000000 so I can not be sure if these actually occur in that generation scheme.

The way I crate the Plus/Minus randomness is to use a second series and use the function (Nr2>0,5) Gives +1 and (Nr2<0,5) gives -1 and if (Nr2=0,5) it give "0" as output. I intended to ignore this zero as it would, in my view, create more than the random amount of zero's. But it would not matter, as the zero would simply keep the price unchanged.

This gives me a +/- Random Number and this is multiplied by the Factor=0,1 to produce the Random Error Factor(REF) and from this the Random Price Error(RPE) results:

RPE=REF*100 from which I get for Test 1:

Price 2= Price 1 + RPE; Start Price= 100

or

RPE=REF*Price 1 from which get I for Test 2:

Price 2=Price 1*(1+REF)

I am not sure about the meaning of your statements on random number generation as you are obviously more skilled on that front as I am. I do sense that what you say about procedure 3 and 4 that I have created something like that:

My Test 1 is not bounded by zero neither on the way up! It can go negative, and it did one or two times! For the cases I spotted I replaced the random number by another random number until the negative part disappeared. I do not believe that any negative prices did end up in the test, and is it did it would not have mattered either for at low prices and negative prices there would not have been any cash left for Vortex was limited to positive cash. On such very low prices.

In the price range just below zero an interesting Vortex Response would develop: The (PC-Y) would actually rise to a high value and this would indicate a large Sell:

F*(PC-Y)/(-Price)= Sell Quantity(negative quantity)

But the execution would result in a regular Profit as you would expect for a Sell:

Yield=(-quantity)*(-price)= Profit

While the number of shares becomes smaller as the Sell was normally executed, the PC goes negative! So while the price is still negative a profit is made and the cash is at a positive level.

At this point PC<0 and if the price starts rising Vortex will start buying shares at a negative price, creating more profits? My head is spinning like a vortex! I have to work this out as I cannot do this with mental calculations and see how this works out in the end, and what effect is will have after the price returns to positive territory. Food for thought!

For Test 2, using the percentage, the lower bound is zero and for this I did not need to check for negative prices.

These are a few remarks on these Tests for your reading fun.

The next topic will be my view on transcendental numbers:

There are no messages in them.

I have made up an appropriate name for the Product (Pi*e)=8,53973422:

Pie

Regards,


Conrad