The Incredible Analysis

of W.D.Gann

Alan Oliver

W.D.Gann
An incredible analyst
in the 1900s
Created several
innovative tools and
techniques
Was the discoverer
of Time cycles in
a ets
markets

G recordd
Ganns
Gann attracted a lot of attention with his
trading
In front of a newspaper editor, he made:
286 trades
d
264 wins
22 Losses for a total of 92% accuracy

 He is reported to have made $50 million US

by his death in 1955.
Even more remarkable as he traded through
the Great depression in 1920 when his broker
and then his bank went bust and he had to
start all over again.
again

 In this presentation we will review just some

of his work
To completely understand this mans legacy
can take years of applied research
research.

The Gann swingg chart

A swing chart will only move

when
h the
h High
i h or Low off
Previous bar is passed.

Definition of a trend

S&P 500 Sep 2010

The safest place to BUY is

the first Higher top

Or

Then place a Stop

below the last swing low

NEVER buy lower tops

and/or lower lows

HOLD higher swing highs

and swing lows

S&P 500 Sep 2010

Entry
Stop

 Gann would pyramid on every trade.

Maximising your position then move stop up
behind each swing low.

S&P 500 Sep 2010

Buy more

Entry
Stop

The Square
q
of 9

 Ganns relentless approach to research allowed

him to discover an astrological approach to
trading.
He
H once
n spent
p nt 3 years
r studying
t d in 7 ddays a weekk
in England reviewing the price movement of
Wh t overr 1000 years.
Wheat
rs
The end result was a much better way to
measure Time
Ti than
h our standard
d d calendar
l d

The Ephemeris

Time
Feb 4

Nov 7

May 6

Aug 8

 Ganns method involved several requirements

to a trade:
Time ( several ways to measure time)
Price
Pi
Pattern

S&P 500
D il b
Daily
bars

June 21

Time
Feb 4

Nov 7

May 6

Aug 8

Price
Gann had an important rule for Price:
Always look half way between a high and a
low for a potential reversal.

Pattern The Outside Reversal

Close is below
Yesterdays low

Time Price and Pattern on June 21

Trade Result:
Short 1105
E i 1036
Exit
Profit 69 points
USD $250 per point
$17,250 USD per contract

The Gann Fan

Gann confirmed that Time and Price can
balance out
out and this leads to a potential trade.
balance
To do this, he created what we call The Gann
fan.
fan

1x1

Start
+10 days
+10 Points

+20 days
+20 points

+ 76 days
+76 points

 How I traded the September 11 2001 market

crash using Gann strategies

Mon Sep 24

D GFC L
Dow
Low March
M h 09

Dow daily

Nikkei Weekly

 Ganns timing factor is based in several parts,

based on Geometry and sometimes illogical
yet powerful human observation.

 What is the most important number in

humanity and why?

 At one stage in his trading research Gann called

144 his most important discovery.
Page 1 of the Bible: God created all things in 6
days and rested on the 7tth day
Ezekiel temple 1440 sq miles: City 144 sq miles
144000 redeemed people

GBPUSD Daily

Rio Weekly

Time
Feb 4

Nov 7

May 6

Aug 8

 What do these basic shapes have in common?

90

In numerology, 90 means:
Change
Obstacle
Redirection

FTSE Monthlyy

Time
Feb 4

Nov 7

May 6

Aug 8

Gann stunned the Trading world

Here is a classic example of how Gann created
a huge following with incredible market
predictions.
Australian stock MQG

MQG
Q Dailyy

MQG
MQG will go no higher until
it has a decent break(pullback)

Time
Feb 4

Nov 7

May 6

Aug 8

Who is this?

Si ifi
Significant
high
hi h andd low??
l ??

A Dire warning
When was the last great Depression?
1929
When was the prior depression?

1837

1837 to 1929 = 90 years

1929 + 90 years = 2019

Nov 07
Major all time high

 2007 to 2019 = 12 years

C
Combining:
bi i
1837 to 2019 = 90 years and
2007 to 2019 = 12 years/144 months
We now have two major cycles expiring
together for a real threat

Th Incredible
The
I
dibl analysis
l i off
W.D.Gann

www.tradingwithgods.com