Cyclic Heuristic in FX Markets
Let's assume that FX markets are random. Their random walk is nevertheless conditioned by physical and psychological laws that include cyclicity, where fx history repeats itself. We may successfully apply wave theory, but only if we assume that we cannot really determine the exact proportions of the wave formations of the fx "ocean", which are dependent on the volatility of the "weather" conditions around the world, since these fx waves are usually formed by different socio-economic and political (random, or super-complex) forces out of our control. We may only know about the bottom and peak fx levels of "ebb and flow" sea tides...
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