Fast Fourier Transformation by Amy Wu
For a long time, Fourier transforms
were used mostly by engineers.
Transforms were used to study
sound waves, frequency
vibrations, and other repetitive
occurrences. Since then, Fourier transforms have been applied to a number of
other diverse fields. Aerospace engineers use
them to study a plane’s wing-tip vibrations during
flight, while musicians use them to identify
patterns when strumming musical instruments.
It was only a matter of time before someone used
Fourier transforms for technical analysis,
specifically, a type of calculation called the fast
Fourier transform (FFT). Jack Hutson and
Anthony Warren of STOCKS & COMMODITIES
were early proponents of applying fast Fourier
transforms to price movements in security prices.