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EMV introduction

- Apr 09, 2018 -

EMV


EMV(ease of movement value)

The EMV simple movement value, inventor Richard W Arms Jr, made based on the principle of isometric maps.

Introduction

EMV = PR/PV

PR=0.5×(H+L)-0.5×(YH+YL)

PV=Volume/(H-L)

[Supplement: EMVA(n) = ∑EMV/n]

(H is the highest price of the day, L is the lowest price, YH is the highest price of the previous day, YL is the lowest price of the previous day, Volume is the volume of the day)

How to use EMV indicator

1. When the EMV crosses the 0-axis from bottom to top, it is regarded as a mid-term buying reference signal;

2. When the EMV crosses the 0 axis from top to bottom, it is deemed to sell the reference signal in the medium term;

3. The average line of the EMV crosses the 0 axis, and there may be less chance of false signals;

4. EMVA changes from negative to positive is a buy signal

5.EMVA changes from positive to negative and is a sell signal

6. The value of EMV is asymmetrical about the horizontal axis

7. When ADX is less than ± DI, this indicator loses its effectiveness;

8. The long-term use of EMV indicators may be a better profit.

EMV chip card standard

EMV= Europay+MasterCard+Visa

The EMV is named after the prefixes of the English names of the three international organizations Europay, MasterCard and Visa. These three organizations organized the EMVCo organization jointly established in February of 1999. The main task is to develop and maintain the specifications, standards, and certifications for the maintenance of EMV payment chip cards, and to supervise and ensure the universal interoperability of the standards worldwide. The availability of the payment environment.

EMV is the standard for professional transactions and certifications established by the international financial industry for smart cards and POS terminals that can use chip cards, as well as automated teller machines that are widely set up by banking institutions. It is a payment system for chip credit cards and cash cards ( Payment System) The standard set by related hardware and software. When the specifications of the "chip card" or readable chip card terminal and the teller machine conform to the EMV standard and are certified as correct, it is called an EMV chip card, also referred to as an EMV card. In this international standard specification, a considerable proportion of chip card interface standards is based on ISO 7816. Europay International was incorporated into MasterCard in 2002. JCB (formerly known as the Japan Credit Bureau) joined the EMV organization in December 2004. The EMV specification was originally EMV'96 Version 3.1.1. The EMVCo organization announced in December 2000 that the EMV 2000 Version 4.0, May 2004 announcement 4.1 version, June 2012 announcement 4.3 version.

Expected monetary value (EMV)

In the field of project management, expected monetary value (EMV): also known as risk exposure value, risk expectation value, is a technique of quantitative risk analysis, often used with a decision tree, it is possible under specific circumstances The monetary consequences of the risk are multiplied by the probability of occurrence. This item contains risk and cash considerations.

A positive value indicates an opportunity, and a negative value indicates a risk. The value of each possible result is multiplied by the probability of occurrence and added.

[Examples] A project invests 1 million, 50% of the chance will be delayed and the penalty will be 200,000. What is the value of EMV? Another project invests 1 million, 50% of the chance will be delayed and the fine will be 400,000. What is the EMV value?

Answer: 100 + (-20 * 50%) = 90 || 100 + (-40 * 50%) = 80

Therefore, the results of quantitative risk analysis EMV values should be chosen to have larger EMV values.

There are also three other keywords that can be used to differentiate EMVs and deepen understanding:

(1) Present value (PV/NPV): It is the value of future cash in consideration of risk (eg inflation rate, political stability, etc.). -- It contains a measure of risk/time/cash. The net present value (NPV) also considers these three.

(2) Expected present value (EPV): It is the expected value of future earnings without consideration of risks (eg, fixed-rate deposits for 2 years, 2% per year) - including time/cash measure.

(3) Expected utility (EU, expected utility): The expected utility of an outcome is a weighted average of the two possible outcomes.