| Motivated by Wu's driven IFS comparison of the
movement directions of TAIEX and the SSE, Thornton compared the movement directions
of each of the nine stocks he studied with the movement of the Dow. |
| T3 if the Dow goes up |
| and the stock goes down |
|
| T4 if the Dow goes up |
| and the stock goes up |
|
| T1 if the Dow goes down |
| and the stock goes down |
|
| T2 if the Dow goes down |
| and the stock goes up |
|
|
| If the stock tends to behave similarly to the Dow, the driven IFS will show a
strong diagonal trend from corner 1 to corner 4. |
| If the stock tends to behave opposite the Dow, tbe driven IFS will show a
strong diagonal trend from corner 2 to corner 3. |
| If the stock and the Dow tend to act independently, the driven IFS will tend
to fill the square, subject to the effects of the separate actions of the stock and
the Dow. For example, if the stock just goes down, only T1 and T3
will be applied and the picture will consist of points scattered along the left edge
of the square. |
|