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Mathematical basis of wave theory Fibonacci series
Fibonacci sequence, also known as Fibonacci magic sequence, was proposed by Italian mathematician Fibonacci in13rd century. This is related to the breeding of rabbits at that time, and it is a very important mathematical model.

First of all, Fibonacci series

Fibonacci sequence is a series of numbers discovered by mathematician Leonardo Fibonacci in13rd century, which was originally used to solve the problem of rabbit reproduction. The magic numbers are 1, 1, 2, 3, 5, 8, 13, 2 1, 34. There are many interesting connections between these figures. 16.00000000605 5+8 =13 and so on. 2. Except for the first four digits, the ratio of any digit to the next adjacent digit is close to 0.6 18. The farther back, the closer it is to 0.6 18.

3÷5=0.6 18; 8÷ 13=0.6 18; 2 1÷34=0.6 18;

3. The ratio of any number to the adjacent previous number tends to 1.6 18. Interestingly, the reciprocal of 1.6 18 is 0.6 18. The ratio of two adjacent numbers separated by a number tends to 2.6 18 or its reciprocal is 0.382.

13÷8= 1.625; 2 1÷ 13= 1.6 15; 34÷2 1= 1.6 19; 34÷ 13=2.6 18

4. In addition to 1, 2, the number *4 in any series plus the number in one series can get another Fibonacci series.

3*4= 12+ 1= 13; 5*4=20+ 1=2 1

5. The sum of the preceding adjacent numbers+1= Fibonacci number separated by one after the last addend.

1+ 1+2+3+5+8=20+ 1=2 1; 1+ 1+2+3+5+8+ 13=33+ 1=34

6. Alternating principle: 3× 3 = 2× 5-1; 5×5=3×8+ 1; 8×8=5× 13- 1; 13× 13=8×2 1+ 1

Second, the application of Fibonacci sequence in wave theory.

1, wave structure conforms to Fibonacci series 2, wave series conforms to Fibonacci series 3, wave ratio conforms to Fibonacci series 4, wave running time conforms to Fibonacci series (sensitive date, time window) 1, wave structure, and wave numbers at all levels are related to Fibonacci series. In wave theory, the rising market (bull market) can rise from one. Or it can be further subdivided into twenty-one secondary waves, and even further subdivided into eighty-nine fine waves. For the short market (bear market) stage, it can be represented by a big falling wave. Similarly, a large falling wave can be divided into three secondary zones. Or it can be further divided into thirteen low-level waves and even fifty-five thin waves can be seen at last. A complete ups and downs cycle can be divided into two or eight. 34 or 144 waves. It is not difficult to find that the numbers appearing on them, including 1, 2, 3, 5, 8, 13, 2 1, 34, 55, 89, 144, all belong to the magic number series.

2. The ratio of waves is related to Fibonacci sequence.

Ratio relation of (1) push wave

The length of each wave is Fibonacci ratio: 1.6 18, 2.6 18, 0.6 18, 0.382 times.

3 Minimum target increase of waves =( 1 wave increase * 1.5438+08)+2 wave bottom.

The formula for calculating the target area A of 5 waves rising from the wave increment of 1:

5 Minimum theoretical height of wave = 1 wave bottom+1 wave increase *2* 1.6 18.

5 Maximum theoretical height of wave = 1 peak+1 wave increment *2* 1.6 18.

The formula for calculating the rising target area B of 5 waves from 1 wave to 3 waves:

Minimum theoretical height of 5 waves =3 peaks +(3 peaks-1 bottom point) *0.382.

5 Maximum theoretical height of wave =3 wave peak +(3 wave peak-1 wave bottom point) *0.6 18.

5 waves =3 waves or 3 waves *0.6 18.

2 Wave is the golden section of the whole driving wave, which is 0.6 18.

5 waves = 1 wave or 0.6 18 times.

5 waves = 1 to 3 waves * 1.6 18.

(2) Adjust the proportional relationship of waves: 1. If the adjustment wave falls in a flat shape of "3-3-5", the amplitude of the C wave is usually 1.6 18 times that of the A wave, and it is usually 0.6 18 if the division ratio of the adjustment wave is maintained.

(3) The feedback ratio of the adjustment wave to the push wave is the Fibonacci percentage of the push wave, which is commonly 0.236 (0.6 18× 0.382), 0.382, 0.5, 0.6 18. In addition, 1/65433. Four waves are more common. ② The weak market retracement can reach 0.6 18, 2/3 and11,2 waves, and wave B is more common.

3. The running time of wave conforms to Fibonacci series, and analysts can find the time window of future market inflection point. On the daily chart, the analyst starts from the important turning point and counts back to 13, 2l, 34, 55, or the 89th trading day. The future top or bottom may appear on these Fibonacci dates.

This technique is still effective on weekly, monthly and even annual charts. On the weekly chart, the turning point of the market may be the 8th, 13, 2 1 week of the last important top (bottom) part.

In the application of Fibonacci sequence, the ideal situation is waveform, ratio analysis and mutual verification of time target. For example, in wave analysis, the fifth wave has been completed and the fifth wave has covered 1.6 18 times the distance from the bottom to the top of the third wave. At the same time, it is just right from the beginning of this trend (the previous trough) to the present.