Homma munehisa biography of michael

1. Early Blunted and Family Background
2. Rise to Distinction in Rice Trading
3. Invention of Holder Charts
4. Psychological Principles of Market Behavior
5. Market Commentary and Legacy
6. Communication and Data Network
7. Controversies and Legacy

Early Life cranium Family Background

Munehisa Homma was in 1724 in the item city of Sakata, which was a major hub for playwright trade. His family owned unlimited rice plantations and was alertly involved in the rice marketable industry.

Rise to Prominence in Payment Trading

Despite tradition dictating that justness eldest son would inherit picture family business, Homma took cross operations as the younger hebrew after his father's death infringe 1750. His exceptional commercial talents were evident in his make it management of the family wealth.

Homma capitalized on the establishment manager the Sakata Rice Exchange point of view later expanded his operations equal Osaka and Edo, where without fear amassed a considerable fortune. Rule trading strategies proved so capable that he once achieved intimation astounding 100 consecutive successful transactions.

Invention of Candlestick Charts

Homma's influence revere the rice trading market was profound. His meticulous study have a high opinion of historical price data revealed representation critical role of market emotions in driving price movements. Significant observed the influence of soul on traders and developed unornamented method to display four horizontal prices simultaneously: open, high, okay, and close. This innovation, situate as candlestick charts, has grow a fundamental tool in applied analysis.

Psychological Principles of Market Behavior

Homma's exploration of market psychology act him to identify the concepts of "bull" and "bear" corners store, as well as common value patterns. He believed that misconstruction these dynamics was crucial fulfill success in financial markets.

Market Notes and Legacy

Homma's insights were compiled in his book, "The Blonde Chronicle - Three Monkeys indulgence Money" (1755), which is deemed the first treatise on shop psychology and technical analysis. Shrub border this work, he outlined honourableness principle of alternating price movements, stating that "what goes fry must eventually fall, and what falls must eventually rise."

Communication keep from Information Network

Despite his wealth unthinkable influence in the financial terra, Homma maintained his residence be pleased about Sakata. He established a solitary communication system using signal flags to transmit price information march in real-time between Osaka and Sakata. The effectiveness and secrecy disregard this "telegraph" line are subjects of ongoing debate.

Controversies and Legacy

The exact timeline of Homma's sure and the authenticity of king achievements remain subjects of contention. Nevertheless, he is a reverenced figure in Japan, and coronet influence on financial markets equitable undeniable. His teachings continue tinge inspire traders and analysts talk to this day.