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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives
SPY 665.67-0.9%Nov 17 4:00 PM EST

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To: GROUND ZERO™ who wrote (56303)1/4/2014 3:13:34 PM
From: Seismo  Read Replies (1) of 218899
 
In our statistical analysis of seismic amplitudes we use squaring to better separate small values from larger values. Example: 2 squared is 4. 4 squared is 16. 16 is separated much farther away from 4 than 4 is from 2 so isolating 4 from 2 is easier if you square them first. Put another way, large numbers are magnified much more than smaller numbers if you square them. I have no idea what this means to a graph of the S&P though.
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