🌊 Sine Wave
A sine wave benchmark represents periodic oscillation. It is the only non-growth benchmark in LibreFolio.
💡 Financial Meaning
Useful for:
- Modelling seasonality (e.g. agricultural commodities, tourism-linked currencies).
- Providing a visual reference for cyclic patterns that traders suspect in the data.
- Testing the rendering pipeline with a known analytic waveform.
🔢 Mathematical Formula
\[
y(t) = A \cdot \sin\!\left(\frac{2\pi t}{T}\right) + y_0 + \text{offset}
\]
where:
- \(A\) is the amplitude (peak-to-peak range as % of base value),
- \(T\) is the period in days,
- \(y_0\) is the base value (first data point),
- \(\text{offset}\) is a vertical shift.
⚙️ Parameters
| Parameter | Key | Default | Description |
|---|---|---|---|
| Amplitude | amplitude |
10 | Peak oscillation range as % of base value. |
| Period | period |
365 | Full cycle length in days. |
| Offset | offset |
0 | Vertical shift as % of base value. |
🔍 Interpretation
If the actual price roughly tracks the sine reference, the market exhibits a detectable cyclic component at that frequency. Deviations from the sine suggest non-periodic shocks or trend drift. Adjusting the period parameter lets you scan across different cycle lengths — effectively performing a manual version of spectral analysis.