Plane A and Plane B: Verifying Forex Relationships

How the dual-plane model exposes coordinate distortions and confirms true market moves

Diagram explaining Plane A multidimensional relation and Plane B control relation.

When you project currency values onto a multi-dimensional coordinate plane, you must ensure that your spatial measurements remain consistent. A single coordinate system can experience distortions when scale changes or when specific pairs experience extreme volatility. To maintain mathematical consistency, I designed the jMathFx Platform to utilize a dual-plane Cartesian system.

Plane A: The Multidimensional Grid

Plane A represents the market as a simultaneous relation between three coordinates. It places the USD against a third currency on the X-axis, the EUR against the same third currency on the Y-axis, and represents the EUR/USD cross relation on the Z-axis.

This multi-dimensional layout maps the configurations of multiple currencies without visual conflicts. When you load historical data, Plane A displays the coordinate states as a spatial distribution. By observing the shape of the point cloud, you can identify the boundaries of the system.

Plane B: The Control Plane

To verify that the relationships in Plane A remain coherent, I use Plane B as a control system. Plane B does not introduce additional coordinates. Instead, it plots the benchmark rate of EUR/USD on the X-axis against the calculated coordinate distances of the remaining currencies on the Y-axis.

If a movement in Plane A represents a true systemic displacement, it must project as a coherent trajectory on Plane B. If the trajectory on Plane B violates the structural boundaries of the control system, the movement is inconsistent, suggesting a temporary market anomaly that will be resolved by a corrective displacement. This dual-plane verification forces you to remain aligned with the mathematical structure of the market. It eliminates subjective interpretations and enforces algebraic discipline.

Related reading: Plane A and Plane B: The jMathFx Market View