Welcome to Universal Wealth Creation.com

This site have been developed as a resource for people

searching for the best ways to create wealth and increase the

quality of their lives. Inside you will find reviews of the latest

Investment strategies available.

Wealth Creation

Home Page

Wealth Creation

Wealth Finance & Property Articles

Fibonacci - Who Was He And How Could He Improve My Stock Trading Profits?
By: Chris Towland

The word Fibonacci means a lot of things to a lot of different people. For mathematicians, Fibonacci is an important number sequence. For some painters, sculptors, and other visual artists, Fibonacci is a principle theory of the arts. For traders, businessmen, economists and the like, Fibonacci is a system that can efficiently predict market trends. Yet, for most of us, Fibonacci sounds incredibly complex and something that we'd rather not discover. But what exactly is Fibonacci? What does it mean and for what is it used?

Fibonacci, which means son of Bonacci, is actually a nickname used by the famous Italian mathematician and businessman Leonardo Pisano. Bonacci, on the other hand, is the nickname of his father and it means 'good natured' or 'simple'. While Fibonacci was born in Italy, he spent most of his childhood years in Bugia (now Bejaia), a Mediterranean port in Algeria where his father, Guilielmo, worked as a consul for the merchants of Pisa. It is in Bugia where he learned the Arabic numeral system, and later as he traversed the rest of the Mediterranean world, he learned more of the Arabic mathematical system and its practical uses.

In 1200, Fibonacci ended his travels and returned to Europe. There he wrote a number of books that disclosed the mathematical skills he had learned in his Mediterranean travels. Among his works that were published are the Practica Geometriae, Flos, Liber quadratorum, Di minor guisa, and his commentary on Book X of Euclid's Elements; the last two mentioned, unfortunately, are already lost. His Liber quadratorum, or Book of Squares, is probably his most magnificent book, but it was not his most popular work. His most popular work was rather the Liber Abaci, his first book that was written in 1202 where he introduced to the Europeans the Arabic numerical and mathematical system. In this book, he also taught the Europeans how to use such mathematical system in accounting and in trading. Most importantly, it is in the Liber Abaci where he introduced the Fibonacci numbers and sequence for which he is best remembered today.

The Fibonacci numbers, or sequence, was first used in Liber Abaci as a solution to a problem regarding the ideal population of rabbits. It is a recursive number sequence that starts with 0 and 1, and the succeeding numbers being the sum of the two numbers preceding it. This number sequence efficiently predicted the ideal growth of the population of rabbits. Later, mathematicians and scientist discovered that the Fibonacci number sequence has a lot of other uses aside from just predicting the population growth of rabbits. They have discovered that the Fibonacci sequence, in fact, occurs in many various patterns of nature.

What started out as a way of counting rabbits has now found a large number of other uses and applications. And as our present day scholars continue to study about the Fibonacci sequence, more and more uses for it continue to be discovered. Today, there are a variety of applications where the Fibonacci sequence, and its derivatives, are being used. It has found use in many computer programs. A ratio derived from the Fibonacci sequence, called the Golden Mean, has been considered by ancient Greeks to be the ideal aesthetic ratio and is now being widely used by many visual artists in their works. The Fibonacci trading system, which is an efficient way of predicting future trends in the world financial markets, has also become popular to expert traders and aspiring traders as well.

Who in the past might have known that such a simple number sequence like the Fibonacci numbers would have a great impact on a lot of things today? Maybe, not even Fibonacci himself.

About the author:
To learn more about how you can use Fibonacci to accurately predict major stock market turning points, visit Fibonacci Trading at http://www.fibonacci-trading.com

Circulated by Article Emporium

http://www.universalwealthcreation.com Wealth Creation | Financial Wealth

Copying or republishing this article is permitted with this footer included

Collect a Free 260 page ebook here: Universal Wealth Earn up to $1,000 per referral: Wealth Creation Affiliate

These property, finance, stock market & business articles have been supplied in the interest of Universal Wealth Creations visitors who want to expand their knowledge in the wealth creation & investment fields. All the business, finance, stock market & business articles have not been read as they are submitted remotely, so if you find any questionable facts in here or simply do not like it, please email webmaster@universalwealthcreation.com and we will review the material. As we find time to do so, we will go through all articles and remove any that appear not suitable. Other sites we recommend here at Universal Wealth Creation are: 21st Century Academy with Jamie McIntyre, Investor Finance, Universal Trading Solutions which promotes great wealth creators like: Kim Reilly, Simon Martin, Justin Beeton, Louise Bedford, John Kaye, Daniel Kertcher & more. They run great seminars across the country. At times we will publish dates for these seminars as they are made available around the counrty. Meanwhile, there is a great opportunity to learn about the finance, stock market & property investment field through reading these kind of articles. Learn about share trading, options, futures, CFD's, derivatives, warrants, indices & more in the stock market. You will also learn plenty about business, finance & property investing through authors opinions in the marketplace. Enjoy your journey towards financial freedom. We hope you will enjoy your visit.

Regards Sean Rasmussen - Universal Wealth Creation Pty Ltd

Site Map

Return to Index
Return To Universal Wealth Creation Home Page