Beating Alpha

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Mathematics is the language of nature

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Yesterday I have seen again the movie pi. Movie I can see over and over again. This movie holds a lot of truth about life and false market premises. Here is the most interesting paragraph from the movie:
Max:
“12:45, restate my assumptions:

1.
Mathematics is the language of nature.
2.
Everything around us can be represented and understood through numbers.
3.
If you graph the numbers of any system, patterns emerge. Therefore, there are patterns everywhere in nature.

Evidence: the cycling of disease epidemics, the wax and wane of caribou populations, sunspot cycles, the rise and fall of the Nile. So what about the stock market? A universe of numbers that represents the global economy. Millions of human hands at work, billions of minds—a vast network, screaming with life. An organism. A natural organism. My hypothesis: within the stock market there is a pattern as well…right in front of me. Hiding behind the numbers…Always has been.

12:50, press return”.

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