V.5:7 (233-235): The algebra of inequalities by Donald D. Bump, Ph.D.

V.5:7 (233-235): The algebra of inequalities by Donald D. Bump, Ph.D.
Item# \V05\C07\ALGEBRA.PDF
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The algebra of inequalities by Donald D. Bump, Ph.D.

Many technical systems, simple and complex, come down to a decision based on inequality. For example, "If the 10-day moving average for today is greater than that of yesterday, go (or remain) long." The criteria for the decision can be expressed as the inequality:

If 10MA1 > 10MA2 buy (hold) long

Consider another simple system: "If the 4-day moving average penetrates the 8-day moving average in the upwards direction, go long." A decision here is indicated by:

If 4MA1 > 8MA1 then buy (hold) long




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