The concept of fractals comes from mathematics and refers to a fragmented geometric shape that can be broken into smaller parts that fully or nearly replicate the whole. Intuitively, technical analysis falls within the context of fractals: the foundation of technical analysis focuses on the price movements of assets under the belief that history repeats itself. Following this framework, Fractal Markets theory analyzes investor horizons, the role of Liquidity and the impact of information. The theoretical framework of fractal markets can clearly explain investor behavior during periods of crisis and stability.
