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Dependent Arising & Reflexive Systems - I



When the individual's consciousness aligns with that of the market, the resulting experience generates identical feelings. Is it possible to have conflicting feelings from the crowd when your home team wins on your home ground? Can the crowd actually make their home team win with their affection for their team and disaffection for the rival team? According to George Soros, it's possible in the financial markets. When the collective perception and conception lead to the existence of a need or a want, it can actually change the reality of what is being perceived through the participating function (being).


When liquidity flows to a place with the potential to generate more liquidity, a common sequence of events often follows. Liquidity continues to grow due to the reciprocal relationship between input and output. However, there comes a point when liquidity is withdrawn or reduced due to a fundamental change in reality, resulting in a sudden collapse. The main driving force behind this is the human desire for more, human aversion to losses, and impermanence of phenomena. During this process, negative behaviors such as attachment, hatred, and protectionism are observed. Has there been an experiment that has proven the indestructibility of the perceived phenomena's existential reality? Are humans capable of self-regulation to prevent mass and individual suffering? Why is there a quest for permanence in this constantly expanding and destroying material and immaterial reality? According to the Big Freeze theory, the universe will continue expanding until all energy gradients are depleted. This will ultimately result in maximum entropy, a heat death, and the inevitable collapse of all negative/positive entropic systems, including life.


Siddhartha attained enlightenment by embracing the impermanent nature of phenomena. He became the Tathagata, the one who both arrived and departed simultaneously. This state transcended death. The cycle of perishable births was conditioned by existence, existence was conditioned by cravings, cravings were conditioned by feelings, and feelings were conditioned by the contact of the mind and consciousness with external phenomena. Ultimately, there was only the continuous arising and passing of phenomena. Siddhartha, being beyond the mundane existence and interconnectedness of beings, would not be an ideal candidate for following or challenging financial trends. How would his rebellious disciple utilize Siddhartha's wisdom to surpass financial markets?


The sun rises, the seasons repeat, the body maintains order, biological systems adapt to their environment, the human brain forecasts for survival, some phenomena repeat. Internal and acquired conceptions persist through biology and culture. All the perceptions and conceptions combine to form mental states and consciousness, which generate feelings, cravings, existence, and the cycle of birth and death. Collective consciousness and networks are built because of the existence of beings. Temporality of existence can be mistaken as permanence, leading to eventual disappointment.


The fundamental nature of reality and the inherent existence or bias can give rise to the formation of a reflexive system. If the language used to comprehend reality is proven incorrect, do you question the reality itself or the language being used? But what if the experienced reality is incomprehensible and subject to uncertainty? Can you build your existence upon it? Some people make billions doing that, enjoying the temporality of sensual or material or immaterial existence. Say the disciple were to learn the language to comprehend the reality like the masses (market) and be able to generate similar feelings, cravings, existence, and being. Their consciousness becomes one with the crowd and is able to be where the highest liquidity is being generated and escape before the apparatus collapses. Can the disciple come out unscathed or will they be haunted by Siddhartha's smile?


Here are some principles of universality in the financial markets -


The first principle is that the underlying trend, which is subject to incompressibility and impermanence, can reciprocally be affected by prevalent bias and create a self-fulfilling prophecy. The second principle is the strengthening and aging of the underlying trend due to the arising and passing of beings. The third principle is the trend moving away from the actual fundamental phenomena, creating a mass delusion. The fourth principle is the impermanence of phenomena busting the underlying trend and delusion.


The first principle requires the disciple to be in relation with the existing players in the system. The disciple should be like the ever-absorbing platform of passing and disappearance of feelings. Their neurons should be similar to those of the market and generate similar pathways. They should be masters of their neurons and not the other way around. The second principle deals with the solid technical quantification of strengthening and weakening of the trend. The third principle is to not detach from the clear insight of the fundamental reality and not be deluded by the hysteria of the crowd. The fourth principle is timing the exit and looking for the next apparatus with different neurons, players, consciousness, feelings, phenomena but similar processes.

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