Fractal geometry Forex gets its fractal component derived from the Latin word "fractus" which means broken or fractured. Benoit Mandelbrot is credited with coining the phrase "fractal" prior to 1980. Fractal geometry is used to describe shapes which Euclidean geometry simply cannot because of their "non-regular" characteristics.
It is Mandelbrot’s principle of self similarity which make the use of fractal geometry Forex trading grow in popularity. Fractals exhibit "self similarity" which basically means that the non-regular geometric shapes appear the same whether you are far away or a close up.
Dr. Bill Williams provides a good overview of fractal patterns in his book "Trading Chaos". In it he describes self similar patterns repeating themselves not only throughout different trading time frames such as hourly, daily, weekly, etc., but throughout different markets as well.
On method of using fractal geometry Forex trading is observing the patterns that take place at Forex market reversals and trading those patterns as they repeat in your chosen timeframe. Inside every monthly reversal pattern there is a weekly reversal pattern that has within it a daily reversal pattern that has within it an hourly reversal pattern, and so forth.
It is well know that even when you want ot catch a big move in the Forex market it is a good idea to look to multiple timeframes to better time your entry. Fractal geometry Forex trading methods will allow you to do just that.
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