April 24, 2017 | Author: Hitesh Patel | Category: N/A
SQUARING TIME AND PRICE WITH PLANETS There are many parts to the W.D.Gann method; one is squaring “TIME and PRICE”. He talks about squaring the high, low and range. This is basically converting the PRICE to TIME. If the high is 90 then you would add 90 days, which is close to 90 degrees of the circle, as 90 x 4 = 360, but there’s 365.25 days to 360 degrees based on the earth going around the sun. But what if he’s talking about Mercury squaring the high or Venus or any other planet? Don’t get me wrong I haven’t seen this in his writings or charts, this is my idea, and he may have done it he may have not, not sure. Wait I could make it up, like so many others and say I found his secret. If it was Mercury it would be 22 days to equal 90 degrees, if Venus it would be every 56 days. If we take the high of May soybeans on 15th January 1948 of 436.75 we could start counting 436.75 days to that date or 436.75 degrees of Mercury, Mercury rules grains. Gann had a non-disclosure document, which he had people sign on the “Average of Planets”. You would have seen a number he wrote about that the planets (the letters everyone has) but I have discovered he had a number he did write about, but he’s never written how to use them, I guess that was passed on verbally or in code as all secrets were and are today especially in India where Gann visited. He wrote about “Mean of 5” -. M.O.F – Mars out. This could mean a number of things, average from Jupiter to Pluto, which is 5 planets from Mars or don’t use Mars at all then use all the combinations of 5 planets, which would give more than 125 combinations. This is the sort of things I study eight hours a day, six days a week, because I only look for trades that set up every six weeks and last for six weeks or so, therefore have plenty of time for research. When people have money, no debt, no needs, it’s not that interesting to them anymore, as Gann says money is only a means to an end, it wasn’t his goal, money is a product of knowledge this is why, Gann, me and other people seek the knowledge as its way more interesting than money. If you don’t even spend $120,000 a year and you live say another 30 years its only $3.6 million, not much at all. You always only trade with funds that never affect your life style or living. Also when not trading keep your money in the bank, don’t leave funds with a broker, many have gone broke over the last few years and more to come. He also wrote about C.E “Calculation of eight” and – “Circle of eight”, these are two different systems. If we convert the high in soybeans to the C.E we end up with 14 degrees Sagittarius or 254 degrees of a circle. This is covered in this article of the secret soybean scale. There are many things you can start studying here, Jupiter rules Sagittarius so look for all aspects to 14 degrees. So using sidereal astrology, not the housewife astrology, you would look to study when Jupiter hits 1/8ths and 1/3rds. To that degree. So you just add 45 to get the 8ths to 254, which is 299,344,29,74,119,164 and 209 degrees of a circle. For example, it hits 164 degrees or 14 degrees Virgo on 18th October 2016, it’s easy to do just look up manually in your ephemeris and see if that works or not from 1948 to present, if it doesn’t you move on to something different. The 3rd is 14 and 134 degrees, Jupiter was at 14 degree Aries on 23 rd July 2011. 134 degrees got hit on 18th September 2015. Now Mercury rules Gemini opposite sign to Sagittarius, Mercury hits 14 degrees Sagittarius on these dates: -23/12/1948 a top in Soybeans 16/12/1949 a top in Soybeans 10/12/1950 a low in middle of bull market 19/1/1952 minor low 2 days later 11/1/1953 minor low 2 days before 4/1/1954 a low in middle of bull market Then you can look at Venus: -19/1/1949 top 2 days later then collapse 13/11/1949 major low 3 days before 21/12/1950 low half way in bull market
2/2/1952 high 2 days before a collapse 4/1/1954 good low for bull market 13/1/1955 low 2 days later for a two-week rally. Or do you take Mercury/Jupiter conjunctions and oppositions and do the averages only on that day. I have done this below and done the average of “6” planets and left out Mercury/Jupiter. The average of “6” was one that he had written on his ephemeris from Lambert-Gann. Conj 15/12/1947 = 166 Opp 25/5/1948 = 99 Conj 24/12/1948 = 185 Opp 24/7/ 1949 = 135 Conj 2/3/1950 = 180 Opp 5/8/1950 = 151 Conj 11/3/1951 = 106 Opp 7/10/1951 = 156 Conj 17/5/1952 = 148 Opp 23/10/1952 = 195 Conj 25/5/1953 = 124 Opp 24/12/1953 = 192 Conj 1/6/1954 = 174 Conj 11/7/1954 = 181 Conj 28/7/1954 = 184 Opp 8/1/1955 = 216 Squaring the high of 436.75 in days are: - 27/3/1949, 7/6/1950,18/8/1951,28/10/1952 and 8/1/1954. You can get more changes in trend by breaking this into 1/8ths and rds. Also do this with lows and ranges. From that letter Gann wrote on 24th January 1955, just six months before he died he gives what happen in 1954 to May Soybeans. May Beans Daily High and Low 1954 Nov. 4, High 299, a signal day. Then trend turned down. Nov. 15, the price was on the angle of 2 x 1 from 265.75 a support level and the market rallied. Nov. 30, High 292.25, closed below the 2 x 1 from 299. Minor trend still down. Dec. 7, Low 277, on the 45-degree angle from 299 and the 4 x 1 from 265.75. Time and Price had balanced and the market was due for a rally. Dec. 10, High 283.5, a lower top and below the 45 degree angle from 292.5 Trend still down. Dec. 14, Low 274.5 (is 36, as per previous Soybean article, July/August 2008 on secret Soybean scale, 36 + 180 = 216), (Gann most likely wrote this small piece to show Mercury on this day hit 14 Sagittarius). Had a wide-open gap. Never sold below the opening and closed at the top, a Signal Day and an indication that the market was ready to rally. Note the low on that day was 274, marking this a double bottom. There are a number of documents that is in public domain; one is the price scale in degrees to price and time in relationship to “The Average of Planets”. There are: -1. 60 degrees = 1point price or time 2. 12 degrees = 30 points price or time 3. 18 degrees = 20 points price or time 4. 24 degrees = 15 points price or time 5. 30 degrees = 12 points price or time 6. 36 degrees = 10 points price or time 7. 42 degrees = 8.5 points price or time 8. 48 degrees = 7.5 points price or time 9. 54 degrees = 6.5 points price or time 10. 60 degrees = 6 points price or time 11. 66 degrees = 5.5 points price or time 12. 72 degrees = 5 points price or time 13. 78 degrees = 4.5 points price or time 14. 84 degrees = 4.10 points price or time 15. 90 degrees = 4 points price or time
16. 17. 18. 19. 20.
96 degrees = 3.45 points price or time 102 degrees = 3.5 points price or time 108 degrees = 3.25 points price or time 114 degrees = 3.10 points price or time 120 degrees = 3 points price or time
PRICE The price in 1932 was 44 on the cash market (44 x 8 =352), 352 is 22 Pisces. But when the number after you times by 8 you have to do the calculation this way: EXAMPLE: the high of 436.75 436.75 x 8 = 3494, divide 3494 by 360 = 9.7056 (subtract the whole number 9) and multiply the remainder by 360 (.7056 x 360 = 254). 254 = 14 degrees Sagittarius. TIME PERIODS (24th January 1955, Gann’s article) May Soybeans started trading again after the war in October 1947. The most important Time Periods up to date (24th January 1955) he says are: 15th February 1920, 28th December 1932, 27th July 1939, 15th January 1948, 14th February 1948 and 9th February 1949. Next most important are: 16th October 1950, 8th February 1951, 13th February 1953, 20th August 1953, 27th April 1954 and 27th July 1954. You look at the TIME PERIODS and see how many weeks are up or down on the Weekly Chart Table (refer to Gann’s table). He didn’t have the “Average of Planets” in this part, so I will add one of the “Average of Planets” so you can study it, in this I will use the average of “6”. 16th October 1950 = 199 8th February 1951 = 217 13th February 1953 = 117 20th August 1953 = 146 27th April 1954 = 172 27th July 1954 = 174 He may have been using different averages to the example I gave above; you will have to test the others, not for me to give away secrets, it’s not being true to Gann, he believed in you doing the work. You can write things down like he did above, but never really know how or what he was doing as you keep the “Keys” in your head, this is clearly what he was doing. All his work sheets were for himself, they weren’t a manual for the public, and this is why no one has cracked the code to the “Holy Grail”. You could spend a decade just on this above with commodity prices and averaging the different planets and you still might not find how he was using them. He was in the above scale using either 6-degree movement or 12degree movements. Another scale he had was for commodities was 12 degrees for Jupiter, 30 degrees for Saturn and 84 degrees for Uranus going through the zodiac therefore for example 30 degrees of Aries using Jupiter scale had a price ending at 360 (30 x 12), 720 at the end of Taurus (60 x 12) etc. Uranus would be 2520 (30 x 84) . I reproduced these scales about 20 years ago for myself, you can do the same. If you were looking for example for cotton a date say 25th January 2017, and just looking at Jupiter, Jupiter on that date is at nearly 23 degrees Libra, this is 203 degrees of a circle. 203 X 12 = 2436 or 24.36 cents/lb. The next major level would be 6036 (2436 + 3600). On the same day if we took Uranus at 21 degrees Aries, which is 21 x 84 = 1764. 1764 + 3600 = 5364, 1764 + 1800 = 3564, 1764 + 900 = 2664. Since the cycles are down you would watch the price support levels. Enclosed Gann scale chart. You can see that he has 18,900 = 30 degrees Sagittarius at 30 points it equals this degree. When you use 18,900 at 84 points per degree it equals 15 degrees Scorpio, at 12 points per degree it equals 15 degrees Leo. You would have never seen this written before and if you look at the chart you should be able to see what commodity he is using this on.
Some homework for you there for sure, wait!! You could find it on a $60 DVD somewhere in the world. As you can see to study what Gann did, you need be working by yourself, have enough time to put in 8 hours a day (full time in 1990 haven’t worked for anyone since then) and start doing this in your 20s. I started when I was 23 years old and still learning more after 35 years (not like others know it all now, after only 5 years), feels like I’m just scratching the surface of what he was doing. The reason I’m covering these periods when Gann was trading was that he wrote booklet on soybeans dated 24/1/1955 where he explains weekly time periods. Part of the article is below on May Soybeans. He has all the Time periods from 1920 to 1954 in his article. 1920 High 405 on 7.75 years 1932 low 44 down 361 on 7/8thyear and 7 years 1933 High 104 up 60 on 2 years and 1-1/8th years I won’t list them all but there is another full page like this to November 1954. What it means 104 High equals 2 years, because the is 52 weeks in a year time two equals 104. 1.1/8thyears equals 60 weeks (60 weeks minus 52 weeks). If you were to go to say high in February 2016 from 1920 would be 4992 weeks. So in February we divide the price by 2,3,4,6 and 8 we get: -2496, 1664, 1248, 832 and 624. If May soybeans are below or above these numbers, it will be in a strong or weak position. To get another price you just keep adding 52 to 405, which is 457,509, 561, 613, 665, 717, 769, 821, 873, 925, 977 etc. if say market is at 821 it would be up 416 cents from 405 which would be in the 8 year column. Therefore, it would be in the 96-year column and the 8-year column. So you do all highs and lows up to today in conjunction with his square of 52 overlay to determine the position of a commodity of stock. You have to make up the tables, hand draw charts of each commodity you wish to analyse. You have to also do all the other highs and lows in this article written in 1955 and study the position of May soybeans. There would be very few people who have the time or want to do this Gann system correctly; especially people teaching Gann, you just don’t have time to teach. This is why I have done one workshop in the last seven years, I never did workshop for money. I only write to show you the amount of work Gann did which no one else is doing to his level, and it’s a level again way above what I’m writing. Gann quoted “Before you make a trade, analyse the position on the daily, weekly and monthly high and low charts”. In the “Hindu Tea Calculator article written in 2015, I said grains would be happy and fall in price, wheat went to 5 year lows, so I shorted Wheat and Soybean on a rally and made great profits. If it was just based on the Saturn line of 599 (239 + 360) wheat was in a bearish position below that number on the high date of 30th June 2015 at $6.22. 625 is the square of 25 of course. The number 617 is opposite on square of nine chart as well. On the wheel of 24 which I wrote an article about 10 years ago here, 15 x 26 = 624, Gann had the Egg chart (this chart the public has seen) which was 45 days to a scale of 45 points, which is only the a simple 15 degrees to 15 days x 3, or 3 hours on the wheel of 24 as the earth rotates 15 degrees every hour. When wheat dropped below 576 it was below the square of itself of 24 and in a weak position. Of course you would know that 30-degree movement of the Earth is only a twoweek chart. Of course there many more things I look at as well. Enclosed this chart of Gann’s for the D.J.I.A If you are a true Gann person you would do exactly do what he does, that is don’t reveal important information, so far that’s covered, no one has got any good information from what I have seen over my 35 years of study. Now the best way to study is buy all Gann books, read them once a month for 12 months, draw hand charts that are in the book and follow what he’s saying. Follow all his rules. This would keep you busy alone for a five years’ full time. When I did teach workshops and told people not to do astrology, they didn’t listen, when and did “House Wife Astrology” and haven’t heard from them since, I guess they a lost in the planets somewhere. Gann wasn’t an astrologer; he never said he was astrologer. This is all you need, doing what I do is way
too hard for people (the harder the better for me), but I enjoy it, so best not to start is my recommendation, you will only get confused and lost, then drop out. 99% of people drop out of everything (straw man, this is why people want handouts) in life and this is one of the hardest subjects in the world to understand. There’s no need to do astrology to trade the Gann way and be successful. Economics 101, sell high, buy low, save and have no debt. No need to go your university, it’s that simple. The amount of work Gann did was remarkable; here is his work, which is a video of 200 pages on the Lottery work alone. On his ephemeris he wrote won lottery, some $3,700 which in those days was nearly a cost of a house, so maybe about $500,000 today. https://www.facebook.com/113109448709650/videos/vb.113109448709650/8996771267 19541/?type=2&theater How many Gann experts are in the world again? Wouldn’t be close to what he was doing as you can see from the above video. Why do you think Gann never wrote books on financial astrology, horse racing and lottery? It’s simple it’s too valuable to him, and people just copy stuff and package it up and resell it. He knew this, he didn’t trust people until they proved they were worthy, this also a Masonic philosophy. From what I have seen people doing financial astrology they just print out all the aspects of planets and say these are the aspects of planets, any ape (Gann said “humans come from apes”) could do that. HOW TO KEEP SECRETS? “Three may keep a secret, if two of them are dead.” ― Benjamin Franklin, Poor Richard’s Almanac “If you want to keep a secret, you must also hide it from yourself.” ― George Orwell, 1984 “The best way of keeping a secret is to pretend there isn’t one.” ― Margaret Atwood, The Blind Assassin “Once exposed, a secret loses all its power.” ― Ann Aguirre, Grimspace Now you can see that people giving away secrets ($60 DVDs) they don’t have secrets. Gann himself said “They aren’t for sale”. You are looking for two things in my articles, you study what I write (some have mistakes so a fool copying them will show them as a fool), and then you look for what I’m not writing in articles for the “Key” secrets. See knowledge screens out the weak people as Gann said (knowledge is power). They will not last teaching Gann, as they have very little knowledge especially when the markets collapse as people won’t have money to waste on useless information. Yet many people in the world have his secrets, how does that happen? It can’t can it? To be pure Gann person, you don’t do Elliot Wave, indictors or mix other things he never did. It just shows you they have never studied pure Gann; it shows you need support from other things, as you haven’t worked Gann out, that’s all. You also, if you had a secret you would never sell it as Gann said. If it’s in public domain, it’s not a secret, Gann knew this as well. I have never found and secrets in Housewife astrology books. If fact I have thrown them in the rubbish bin as George Bayer suggested. I will show you how bad astrology is here and doesn’t work. The two greatest golfers of all time are Jack Nicholas and Tiger Woods, Jack has Sun square Saturn, Tiger Woods has Sun square Pluto, Greg Norman who won over 90 tournaments and world number one for 10 years has Sun square Saturn. Richie McCaw has Sun square Saturn, the greatest All Black captain ever with a two world cups, world record test played of 148. I have Sun square Mars. I have won two NZ senior golf tournaments and played for NZ. All these people are Capricorn’s, me as well, except Greg Norman who is Aquarian, but ruled by Saturn. One astrology told me that a disaster was going to happen when my transiting Saturn squares my moon, this person still looking for the MH 370 plane, I double my money being short grains as predicted in the Hindu Tea Calculator article. Astrology is just rubbish. Let’s look at the D.J.I.A we have had seven Uranus square Pluto (bad aspects) from June 2012 to March 2015, D.J.I.A hit record highs in May 2015. But if you go to a housewife astrologer they say bad aspects are bad, it just proves what they say is rubbish, I have had plenty of bad aspects, and made money. They have no idea. Anyway no one cares if a straw man has bad or good aspects. Shows you how little they know about normal astrology and they are trying to emulate Gann
doing financial astrology, what a joke. Gann wasn’t doing that kind of cycle work. Every Astrologer in the world has been talking about “Blood Moons” what happened? nothing as per usual in the markets. I guarantee you will go broke following normal astrology, just as CHART WELL did. I have never been to an astrologer to find out what Gann was doing, that’s the dumbest thing you can do. You would notice, Bayer, Gann and Livermore made more money than people today without a computer or software, doesn’t that tell you something? There’s no one in the world teaching pure and true Gann Astronomy, Astrology, Geometry the way Gann was using it. David Burton has been using the Gann methods since 1983 for predicting weather, markets and more recently for horse racing for his own personal use. He doesn’t teach as it takes up too much time and the time he wants to continue to research into deep secrets of Gann. He writes only to keep Gann’s name a live in a pure form.
"THE GREAT PYRAMID" IS "THE BIBLE IN STONE" W. D. Gann visited Egypt to study the great pyramids as well as many other places around the world to obtain vast knowledge on time cycles. Most people aren't aware of how he coded all his knowledge, or where he left his money. Gann didn't reveal his secrets. W. D. Gann only left about $100,000.00 in his estate, presumably because his relations and siblings were always asking him for cash, so they got very little. The size of his estate is why others say Gann only sold courses. His son John Gann didn't believe in what Gann was doing. John would make paper planes in his father’s office and throw them around, according to Gann's third wife Londy Gann (who only died about 12 years ago.) Gann apparently did not think very highly of his son. The fact that Gann had an office on Wall Street for 50 years, employed nine people, owned planes, etc. suggests otherwise. Additionally, he backed Jessie Livermore in 1934 when he was bankrupt. Livermore used to trade hundreds of millions of dollars back in early 1900s. [1] It also rumoured that Gann gave one million dollars to the Masonic lodge. He could have given it all to them, there is no public record. As the cost of his course was about half a million dollars, in today’s dollars, few would have been able to afford the course, so he wouldn't have sold too many courses. Gann was definitely making his livelihood trading rather than from selling courses. He likely left his money in Cuba where he play the Cuban lottery because taxes were 80 cents on the dollar in the 40s and 50s. In his ephemeris, he noted in March and April "won lottery".
Gann apparently was playing the roulette wheel based on at all the wins written on his ephemeris. The roulette wheel is based on astrology. You would notice the numbers on the roulette wheel has subsequent numbers 120 degrees apart most of the time, and there are 36 numbers which follows the decan system. According to his wife, he also made lots of money at the races. The pyramids are based on the time cycle from Adam in Genesis (look at my article on “Magic Word”) which is 3999 B.C. The pyramids were completed in 2625 B.C, which I discovered is 969 years before the flood of 1656 B.C. 970 is half of the 1940 in the title of TTTA.[1] The Pyramid of Giza covers 21 acres, 144,000 limestone blocks (that bible/Gann number again). The passage angle of 26 degrees 18 minutes points to the place where Jesus was born, over 2,600 years before he was born. Gann’s 1x2 angle is 26 1/4. The 2,300 days/years (Bible number) started 457B.C and ended 1844 A.D "unto 2300 days: then shall the sanctuary be cleansed" 2300 years. It's the same bible dates as the pyramid. The 490 years ended 34 A.D., but that's another article later in the year.
The great step in the pyramid was reached on January 25th 1844, one inch equals one month. The top of the great step was reached on 2nd August 1909, this is the start of Gann's pyramid code, to the bombing of the Twin Towers on 11th September 2001. You must get all the pyramid dates, line them with the bible, TTTA and astrology to get close to unlocking Gann's system. Gann was not doing any astrology that is taught on this planet. From 9th June 1906 to 2nd August 1909 is 1150 days, half the bible code of 2300 days. The 9th June is was when Robert Gordon was born in the book "The Tunnel thru the Air or Looking back from 1940.” The first low passage starts 4th August 1914 to 11th November 1918, which is the exact length of World War One. Before I go any further we should mention that the great mutation of Jupiter/Saturn occurred on 26th January 1842 at 9 degrees Capricorn, as this will come into play later (closer to 1844.) The imperial measure of distance, weights with bible numbers and astrology give you confirming answers to the future. It's the mixture of these together that keeps astrologers around the world from unlocking Gann's secret time cycles. You will have never seen what I am about to write anywhere in books or the internet, etc. (until of course they have read this article.) There are 5,280 feet to a mile and 1,760 yards to a mile. 5,280 plus 1,760 equals 7,040 to become a day count. The cover of the book TTTTA has planes crashing into buildings which is most likely 11th September 2001. First, let's look at World War Two. Gann wrote the book on 9th May 1927. If we add 7040 + 7040 to Robert Gordon's birthday you get 26th December 1944, you are thinking, “so what?” Now deduct 1940, Gann’s number, and you get 4th September 1939. World War Two started on 1st September 1939. With the same date we deduct 1040, 1040, 2300 days (all bible numbers) and Gann's number 1940 days we get 7th September 1927, the major high predicted for cotton was on 8th September 1927 in his book. He has ticked 19th March 1944 in his ephemeris (26th December 1944 - 283 days is 18th March.) When the USA went to war on the 6th April 1917 to the bombing of Pearl Harbor on 7th December 1941 was 9011 days, drop the zero and you get 911.Wait there's more, 9011 days, times three equals 27033 days, add that to 7th September 1927 you get 11th September 2001. The end of the King’s chamber of the pyramid ends on 17th September 2001. 2001 was also 6000 years from Adam’s birth, 3999 B.C. We are now in the last 1000 years of man, which totals the 7000 years to complete the cycle. 2001 was the end of the capitalism as we know it. 9th May 1927 plus 2520+2520+ 286 (see displacement factor below) = 7th December 1941. Was the 17th September coded in Gann's book? Yes, 1940 times fourteen is 27160 days, add to the date he wrote the book you get the 17th September 2001.Remeber Gann stated you can predict 1000 years just as easy as 100 years or one or two years in advance with small adjustments. Major trouble will start around 2nd May 2012, and 2012 is a really bad year. This is 31,040 days from 1927, 1940 times 16 (the total amount of planes on the cover of the book.) Gann has marked in his ephemeris on 7th August 1948, the number “40482, won on 82.” The 6th August 1948 is 7760 days from 9th May 1927 (1940 x 4), minus 40482 days from 6th August is 6th October 1837 (same date as Marie Stanton's birthday),but more importantly,Venus,Mars Saturn conjunct close to the fixed cross at 15 degrees Scorpio. The 4th August 1948 was marked Mars conjunct Neptune. You will have to go through all the dates, inches in the pyramid to get all the information from TTTA. The base of the pyramid is 760 ft 11 inches or 9131 inches. This divided by 25 (Hebrew inches) equals 365.24.The solar year is 365.24 days long, the length of each side of the pyramid is 365.24 Hebrew cubits. The displacement factor of 286 inches in the pyramid code is also in the bible and TTTA.286 is two short of 288, twice the square of 12,144, and three short of 287, the square of 17. The number 286-153 (the fishes in the bible) equals 133.This year Gann is 133 years old, this is why I'm giving this little gift. 133 is 19 x 7, 19 is the number of the Sun, the Metonic cycle of 19 years. 19 square is 361 close to a circle. 133 x 2 is 266, this is on page 82 of TTTTA.
This is to do with the number of popes predicted by a twelfth century priest called Malachy. Just as he could predict 800 years ahead, so could Gann. 286 days x 34 (page missing in TTTTA) = 26.6 years. Malachy used names and numbers as Gann did. 266 plus 153 equals 419, and there are 418 pages in TTTTA. 19 years is just under 6940 days. 6940 – 1760 (yards) – 2300 (bible days) equals 2880 (double Gann's square of 1440) and the number of minutes in two days. The last date in TTTA is 30th August 1932, minus 2880 days plus 970 (half of Gann's 1940) equals the 8th June 1927. Robert Gordon was 21 years old on the 9th and Gann was 49 years old on the 6th. Because everything is known before it happens, and because of natural law (just that most have no knowledge) then I figured my birthday, and my daughter’s birthday must be coded in Gann's books. I found it using the solar eclipse. The total solar eclipse before Robert Gordon’s birthday was 283 days before 9th June 1906. The number 283 is 3 days short of the displacement factor. Gann died close to the solar eclipse on the 20th June 1955 (he died 18th June 1955). This solar eclipse is 566 days before my birthday on 6th January 1957, and 566 is double 283. My sun is at 284 degrees of the circle as well. My Jupiter is exactly opposite Gann's Saturn within a few seconds. There have been only three total solar eclipses for thousands of years on the 8th June. There was a partial solar eclipse on 8th June in 1898, 8 years before Robert Gordon was born, the Venus/Sun cycle of 8 years. The three total eclipses were in 1918,1937 and 1956. This is where it gets interesting, the 8th June 1956 solar eclipse is the first total solar eclipse before my birthday. My daughter was born the 8th of June, 1992. She is 19 years old this year (114 years after Gann was born, 19 x 6). Her name is Rhyann, same three letters at the end of Gann. 1956 to 1992 is 36 years, one 1/4 of the square of Gann's 144. Rhyann was born 65 years after TTTTA was written, 65 x 16 equals 1040 covered in Mayan article). The year 2001 is also 65 years from the pyramid date of 16th September 1936. The total solar eclipse before Rhyann was born is 333 days, half of 666 which is another bible number. The number 333 is coded in TTTTA. Between my birthday and Rhyann’s there are 153 days( the fishes). Marie Stanton's total solar eclipse before she was born was on the 3rd January 1908, 277 days before she was born. He has also marked 10th September 1942 with Mars 180 degrees in his ephemeris, which is 277 days after 7th December 1941. If you aren't coded in TTTA, you will have trouble unlocking the secrets. It's a good question to ask those teaching Gann isn't it? Getting back to 286, 1940 - 286 is 1657, 1656 is the year of the great flood in the bible. 6940- 1656 equals 5284 (5280 feet to a mile). 1656-1290 days equals 366 days (a leap year). The word Egypt is in TTTTA three times, first page 55 and last page 398, difference is 343,7x7x7. The words "The tunnel thru the air" starts on page 343. Gann stated that all the secrets are in the bible if you know where to look. This is a very, very small amount of work you need to do to get to Gann's level of knowledge. Australia has this mutation in the 8th house, the USA in the 2nd house. Pluto, the planet of destruction, hits this point in February, 2012, and the last time to hit 9 degrees Capricorn is 20th December 2012, right when the Mayan cycle hits, (which I covered in the previous article.) The second year of the decade is nearly always the worst (read the Decennial cycle Sept/Oct 2007 article.) Uranus squares this point in April and November, 2013. The stock market rallied for 4 months after this happened in 1929, and then collapsed as it started the Great Depression. Will this cause "Armageddon?" Maybe not, but there's going to be a lot more natural disasters like Japan, New Zealand, Australia, etc. You just wouldn't want to own real estate when these things happen or be long insurance companies (read “The Real Estate
Dream” May/June 2010 article). Of course, the real estate cycle finished years ago. Pluto squared this point in December 1974, the collapse in the stock market and economy. You should have been in cash years ago and just watching, waiting. The Western World is on the verge of collapse. It started first in 2001, followed by October 2007, and has decades of problems to come. The Government borrowed $53 billion from the USA Federal Reserve, which is not owned by the government. (Read the "Matrix of Money" on my websitewww.commhedge.com.au). The National Bank borrowed $4.5 billion and the CBA $100 million. Make sure your cash is with the strongest banks. It’s only basic as well to have no debt. I have just one house and one car, whereas other people can waste money on toys and show off. Why did they borrow from the Fed? It’s because they had lent out a higher ratio than they should have because there's no longer gold backing the paper. The Australian government went into $400 billion of debt to create 750,000 jobs, how is that a boom? These were things like NBN and pink bats, etc. We had no debt when Howard left, in four years they have completely ruined a nation. Why then, with this huge spending spree,is the stock market still down from the 2007 high and real estate is dropping? This tells us that there's a problem with these two markets. He consumed 80 pounds of paper in figuring, and his geometrical deductions and calculations are contained on a roll which, when unwound, would reach from Wall Street to the Battery. From all these numbers Mr. Gann erects his geometrical figures. He has a big ponderous volume filled with these figures: squares, angles, pyramids and circles, and whenever he wants to know anything he turns to a certain geometrical figure and puts his finger on the answer. Mr. Gann, who is a native of Texas, gave the following account of his experience and methods: "It is impossible now to give any adequate idea of the law of vibration as I apply it to my business, however, the layman may be able to grasp some of the principles when I state that this is the fundamental law upon which wireless telegraphy, wireless telephones, phonographs and all other great inventions are based. Without the existence of this law these inventions would have been impossible. "In order to test my idea, I have not only put in years of labor in the regular way, but I spent nine months working night and day in the old Astor library and in the British museum, in London, poring over ancient books on mathematics and geometry, as well as the records of stock transactions as far back as 1820. I have, incidentally, examined the manipulations of Jay Gould, Daniel Drew, Commodore Vanderbilt and all other important Wall Street manipulators from that time to the present time. "Vibration is fundamental; nothing is exempt from this law; it is universal, therefore applicable to every class of phenomena, animate or inanimate, on the globe." Mr. Gann added that his research showed that the ancients had knowledge of natural laws of which we can scarcely dream, that in a sense they were wiser than we are today. The fact that the ancients wrote their numbers and letters in geometrical figures opened the way to his discovery of the law that rules all things. He found that every letter and every number was written in a geometrical angle that determined the power of its vibration. Knowing this vibration in the letters of an individual's name, in the letters contained in the name of a stock or in the letters of the name of a country or a ruler, the destiny of that individual, that stock or that ruler and country can be correctly seen. You will notice I write all these articles for free, as I make my money investing, trading, etc. so I don't need to sell books, CDs, hit the seminar circuits, or sell Gann astrology courses. I use Gann information for my personal wealth, not like Gann frauds. Be aware they are all frauds when it comes to Gann knowledge, they are selling Gann's stuff without true knowledge and they will never get it.
David Burton websites www.schoolofgann.com,www.commhedge.com.au www.corporateastrologers.com (coming 1st August 2011) W.D.Gann articles written from 2003 to now in "Your trading edge",www.ytemagazine.com free with three year subscription.
MAGIC WORD DECODE IS PRINTED IN “Your trading edge” magazine. MAGIC WORD DECODE IS PRINTED IN “Your trading edge” magazine. Below is part of the next issue.
Four places left for next weeks “Mastering markets” workshop. Natal Soybean chart and planetary lines. Most people have seen Ganns 1948 soybean chart with the Mars and Jupiter lines drawn. The conjunction of these two planets happened in Sagittarius and this is why Gann was drawing on the chart. Jupiter is the significator of the chart as it rules the first house and also Jupiter is in the first house. This may be why Gann said that soybean would become “King”. Jupiter is at 18 degrees 56 minutes of Sagittarius which equals 259 in price. If we add 360 to this we get the important Jupiter lines, 619, 979, 1339, 1699 etc. You can look at the other planets the same way. You would notice that Saturn squares these points in November 2008. As you draw planetary lines transit to transit on your chart and you have square, trine etc you can do the same to the natal chart. The high in soybean was 1586.5 (259+360+360+360+240 = 1579).If you take the all time low in May futures of 67 and add it to the Jupiter line you get the exact figure.( 259+67+360+360+360+180 = 1586)
THE MAGIC WORD
PART ONE The magic word was the last of W.D.Ganns seven books he wrote and certainly one of his greatest if you can understand and decode it like TTTA.Like most books of Gann there is a practical side for the learner and then there’s higher levels of understanding. There are seven levels of understanding and most won’t get pass level one as they don’t have any idea of where to start. Like most of ganns books there is a code and until you crack the code you won’t be able to get to the higher levels. As have started many times before that is not the astrology that is taught today. Gann stated “that all the cycles are in the bible if you know where to look” Firstly if we look at the front cover the words “The Magic Word” has 3, 5 and 4 letters.There are 354 days to a lunar year. Gann also stated that 3, 7 and 12 are throughout the bible.
The word “Jehovah” is on the cover three times, “Jehovah” has seven letters and there are twelve chapters to the book. All the letters on the front page add up to seventy (10 x 7). There are seventy eclipses to a team of eclipses which are code throughout the bible. The word “Jehovah” not only stands for the seven ancient planets but is in the book hundred and forty-four times (12 x 12). The word “bible” is in the book eighty-four times, the word “Hebrews” is in the book twelve times, Hebrews also has seven letters.
W.D.GANNS “SQUARE OF NINE CHART” The square of nine chart is a very interesting calculator of W.D.Ganns as it combines astrology and numerology in one chart. W.D.Gann spent some time in India (maybe up to two years) around the early 1900s and most likely followed Sepharial there on his recommendation. Sepharial spent also a number of years there and wrote books on Hindu astrology. Hindu astrology is more than five thousand years old.Ganns knowledge came from ancient scriptures as we know. I visited an old astrologer in Goa, India in 2006 and I showed him the square of nine chart. He told me that it was one of the 16 astrology chart used by the Hindus. I thought this to be the case as the number 9 represents the moon in magic squares. Hindu astrology is based on the moon. The other magic squares are Saturn = 3, Jupiter = 4, Mars = 5, Sun = 6, Venus = 7 and Mercury = 8. The square of nine The square of nine is made up of numbers with one in the middle and rotating outwards until the number 1089, which is the square of 33.The sun and moon come together at the same point every 33 years. The number 33 has a lot of coded points through out history.Theres 33 degrees in the Masonic order, Jesus Christ lived for 33 years and the most important is that the moon is exalted at 3 degrees Taurus which is 33 degree from the starting point of the cardinal cross of zero degrees Aries.
Why W.D.Gann never invested in stocks. I haven't traded or own a stock for 18 years and the reasons is that share holders never gets the returns he should do. 1. The C.E.Os are way over paid for there ability. 2. They get bonus when companies are losing money. 3. The waste money on advertising, sports etc 4. The ego of board members and staff have them waste money on travel, restaurants, cars, credit cards etc 5. The company can disappear like Enron etc 6. They always talk up the company and never tell you the real situation so they can off load there shares to the public. 7. They invest in other companies when they have little or no experience. 8. Stocks usually go up in Boom times and down in Bad times nothing to do with the company at all. 9. Costs that rise in companies come out of share holders profit, they rarely try to reduce costs as its not there money. 10. If the staff in these companies really had ability they would be working for themselves. Commodities and currencies can;t disappear ( well maybe the $us will, go tohttp://zfacts.com/p/461.html ) This is why Gann preferred to trade commodities as they are easier to predict if you have good clean and accurate data. They also can’t disappear, they can only fall in value (you can short them) as they are the necessities of life. No one needs a stock to live.
People aren’t really making money out of stocks they think they are. Lets take rare coins, investment art, they out perform stocks by miles. Gann always said “After making profits put some away for bad times” Rare coins in Australia have had 20% growth or more for the last 25 years (even in recessions). Go towww.rarecoin.com.au (a rare note the was bought for $19,000 in 1989 sold for $685,000 in 2006. An Andy Warhol investment art bought for $69,000 in 1969 sold in 2007 for 71 million. If you bought at the exact low in 1982 when the D.J.I.A was 770, (if you have also picked a company that hasn’t gone broke) The Dow should be at 73,000 @ 20% per/year from 1982 to 2007 if you got the bottom. If you bought at the 1987 high @20% per/year it should be 105,000.The Dow is at 13,000 that’s 87% lower than 105,000. If you bought at the 2000 high @ 20% per/year it should be 42,000 If you bought at the 2002 low @ 20% per/year is should be 18,000
This doesn’t take in the costs of interest where people borrowed money to buy stocks, the figures would be worst.
W.D.GANNS WHEEL OF 24 W.D.Gann had a number of overlays for different time periods depending on his trading mood and his own cycle. One was the “The wheel of 24” which was used for day trading as it has the hours and days around the outer ring with the number from 1 to 24 to line up with the hours and continuing around the circle so 25 lines up with 1, 26 lines up with 2 etc. The material Gann presented to the public was a cover up for his astrology work as it’s easier to teach people maths (well some people), than astrology. Remember, what the public have today is not the entirety of his material as his personal books were virtually destroyed during the Miami floods in the fifties. His writings were kept in a leather box in is garage and was overcome by the floodwaters. Gann ended up simply throwing them away due to the water damage. Given this, it astounds me how people can say they are Gann experts. There was only one Gann expert and that was Gann himself. During my own near 30 years of study, what Gann did has become abundantly clear – he utilised the knowledge of the ancients to trade the markets, and he did it all by hand. HUMAN NATURE If you day trade, then you are operating in a different cycle and emotions run high (especially for beginners). People usually want to be ‘day traders’ because of ego. Remember, Gann said that it’s easier to make money on the big campaigns and following the large cycles. Back to the day trading - what makes the market move? Well people react to how they feel and the environment they are currently living in – happy or sad, the season, and even the weather. This happens because of the flow of blood through the veins. Blood flows or is pumped through the body at 50 cycles per/day and the body cycles count is slower when it rainy, cold and cloudy. It remains moderate when fine, and elevates when it’s hot and humid. This is a major reason as to why most people can’t make money with Gann or any other system is because they are too emotional. You need your emotions under control to be successful at anything. Making money and losing money should result in the same emotion - if it isn’t you are out of control, and you are doomed to fail. It is a fact that unhealthy people are more emotional – 20% of the population has a mental disorder, 60 % are obese and overweight - and this is why Gann insisted on good health practices for a better change of success. Can’t be that hard to make money when this is your competition! We use a cycle of 60 minutes to the hour, however the ancients used planetary hours which meant the hour could have more or less than 60 minutes in it. They divide the day into 12 hours from sunrise to sunset and the night into 12 hours from sunset to sunrise. Not only were the hours ruled by planets but so were the days, months and years.
The days of the week are as follows:Saturday = SATURN Sunday = SUN Monday = MOON Tuesday = MARS Wednesday = MERCURY Thursday = JUPITER Friday = VENUS
The Chaldean orders of the planets are from Egypt where Gann also travelled. The order is: - Saturn, Jupiter, Mars, Sun, Venus, Mercury, and Moon. The first hours is the same as the ruler of the day and then follow the sequence. Example the 16th July 2007 in Chicago. The day is Monday so the first hour is Moon, the second is Saturn, the third is Jupiter, and the fourth is Mars etc However the sunrise is at 5:28 am and sunset is 8:24 pm which gives us 896 minutes of daylight. This gives us 74 minute hour. The Jupiter hour therefore starts at 9:10 am and finishes at 10:24 am. This would have been a Mars hour if there wasn’t daylight saving which would have a different outcome and opposite to that of Jupiter. To get the strongest Jupiter hour would be to get to line up with a Jupiter year, month and day. You can only get a Jupiter month when the sun is between 240 degrees and 270 degrees as well as between 330 degrees and 360 degrees as these are the signs of Sagittarius and Pisces both ruled by Jupiter. In the Hebrew year we are in a 36 year sun in Pisces period from 1981 with a sub-period year of Jupiter in Taurus after the new moon in April 2007. THE WHEEL OF 24 As you can see, all this can get very complicated for the average person, so this is why Gann only taught the maths side of cycles etc. All this I do by hand with no computer. Most people are lost today without a computer as they have the computer thinking for them - hence their lack of Gann knowledge, or even the concept of Gann. The wheel of 24 you either draw up in a circle of make up a square of 24 so that 23rd March = 6:00 am = 0,24,48,72 etc 6th April = 7:00 am = 1, 25, 49, 73 etc 20th April = 8:00 am = 2, 26, 50, 74 etc 6th May = 9:00 am = 3,27,51,75 etc 21st May = 10:00 am = 4, 28, 52, 76 etc 6th June = 11:00 am = 5,29,53,77 etc 21st June = 12:00 =6, 30, 54, 78 etc 7th July = 1:00 pm = 7,31,55,79 etc 23rd July = 2:00 pm = 8,32,56,80 etc 8th August = 3:00 pm =9, 33, 57, 81 etc
23rd August = 4:00 pm = 10,34,58,82 etc 8th September = 5:00 pm = 11,35,59,83 etc 23rd September = 6:00 pm = 12,36,60,84 etc 8th October = 7:00 pm = 13,37,61,85 etc 23rd October = 8:00 pm = 14,38,62,86 etc 7th November = 9:00 pm = 15,39,63,87 etc 22nd November = 10:00 pm = 16,40,64,88 etc 7th December = 11:00 pm = 17,41,65,89 etc 21st December = 12:00 pm = 18,42,66,90 etc 6th January = 1:00 am = 19,43,67,91 etc 20th January = 2:00 am = 20,43,68,92 etc 4th February = 3:00 am = 21,44,69,93 etc 19th February 4:00 am =22, 45, 70, 94 etc 6th March 5:00 am = 23,46,71,95 etc 8th October 1908 is Marie Stanton birthday (TTTA)…………………….
How to make back losses on a small amount of capital You are down and out after making some big losses, you have knowledge because you made money in the past, but not all the knowledge because you broke the rules, gave it all back and some. Learn from this lesson. W.D.Gann is the Methodalyes that I follow to a tee, using no other indicators to support his methods. If you have to use other indicators to support W. D. Gann methods then you haven’t studied Gann in depth. Having made big losses you are going to be stressed, maybe sick, your relationship could be in trouble because you have lost all your capital except $5,000.00 US. Before we get to trading strategies there’s going to be quite a number of issues to address – W. D. Gann’s most important thing is good health. HEALTH A person can not make great success in any business unless health is good and more so in the business of trading stocks and commodities. A brilliant mind cannot work successfully with a weak body. In bad health you do not have the patience to wait or the nerve to act. If your health is bad you become despondent, you lose hope, you have fear, and you will be unable to act at the right time. I have tried to trade when I was sick in bed and I had forgotten that I had placed twice as many orders in coffee market than I thought and lost $10,000 in a few days. I now try to do a couple of hours exercise 5 days a week and eat healthy food. If your health gives way, the most important thing to work on is to get your health back in perfect shape for HEALH is WEALTH. KNOWLEDGE When you have paid in advance with time and study, and gained knowledge, then you will find it easy to make money. The more time you put into gaining knowledge the more money you will be able to make later. CAPITAL Capital is important because without capital you can’t trade. You have a small amount of $5,000 U.S. and you can make large profits, providing you use a stop-loss order, and take small losses and don’t over trade. WHAT TO TRADE You only have $5000.00 U.S so you can’t afford to lose it. W. D. Gann preferred to trade in commodities than stocks. The pitfalls of stocks are:-
• Stocks are issued to the public to get interest free money • Staff and management get bonuses when the company makes large profits instead of going to the shareholders. • Staff and management travel first class or business class, stay in the best hotels, have credit cards and company cars • The company can go bankrupt – like Enron, World Com. Etc. It’s amazing the C.E.O.’s get paid millions in salaries each year and the company goes broke. • The insiders sell before the public becomes aware THE ADVANTAGES OF COMMODITIES: • They are the necessities of life. • They do not become worthless, they can only fall in value (you make money shorting them). • They generally follow a natural seasonal cycle • They have high volatity in drought, floods etc. than stocks. • Most commodity markets have greater liquidity to trade options and futures contracts. • W. D. Gann said “it’s easier to predict commodities than stocks. SET UP THE TRADE! I don’t use a computer for charts – it is not the W. D. Gann method. Hand draw up a less 10 monthly charts on different commodities, currencies, metals or bonds that are trending. By trending markets that have broken highs or lows from tops or bottoms over the last 5 years or more. Make sure you have at least 20 years of data but 30 years is better when you can get it. Next draw up your weekly chart going back 3 to 5 years from the last major high or low. Look at the market that looks the strongest to buy and the weakest market to sell out you 10 monthly charts you have drawn. For the market to be in a Bull market it has to make higher tops and higher bottoms (at least 3 of each) Draw all your geometric angles (Gann angles) from all highs, lows and zero line on monthly chart to determine whether the market is a strong or weak position. FORM READING. Eighty-five percent of what any of us learn is from what we see. It has been well said, "One picture is worth a thousand words." That is why FORM READING or the reading of various formations at dif¬ferent periods of time is so valuable. The future is but a repetition of the past. The same formation at tops or bottoms or intermedi¬ate points at different times indicates the trend of the market. Therefore, when you see the same picture or formation in the mar¬ket the second and third time, you know what it means and can determine the trend. You do not have to accept my word that the rules I give you will work in the future as they have in the past but you owe it to your¬self to prove by past records that these rules work; then you will have the faith to follow them and make money. FORMATION AT BOTTOMS AND TOPS By studying stock formulations of the past you will be able to de¬termine what is going to happen when similar formations occur in the future, just as you know that there is going to be rainstorm when you see a heavy dark cloud form. After accumulation or distribution at bottom or top has been completed, there is a BREAKAWAY POINT. When you buy or sell stocks at this point, you make money very quickly. Study the volume/open interest, seasonal patterns, the space and price movements and the last and most important time period. Similar action of the mar¬ket occurs around the same month years apart.
Study the different types of bottom formations - sharp, double, triple, flat and ascending bottoms. LAST STAGE OF BULL OR BEAR MARKET In fast, advancing markets in the last stage of the campaign reac¬tions get smaller as stocks work to higher levels, until the final sec¬tion or run has ended. Then comes a sharp, quick reaction and a reversal in trend. In the last stage of a Bear Market, after all old bottoms and resis¬tance levels have been broken, rallies get less or smaller as prices work lower. Therefore, people who buy have no chance to sell on rallies until the final bottom has been reached and the first rally takes place. This is why it never pays to buck the trend in the last stage of a Bull Market or the last stage of a Bear Market. RANGE OF BOTTOMS Never consider that a major or a minor trend has reversed or changed until the bottoms or previous weeks have been broken or the tops of previous weeks have been crossed. The number of points that a stock or the averages should decline below a bot¬tom to indicate a change in trend to lower levels, varies accord¬ing to the price at which the averages or the stock is selling. We consider a range within 1% to 3% points a double or triple bottom or a double or triple top. In a strong market a stock will break only 1 point under a bottom and then rally and, in extreme cases, not more than 2 points. As a rule when bottoms are broken by 3 full points it is an indication for lower prices before any rally of impor¬tance. SINGLE "V" OR SHARP BOTTOM This formation can be a sharp, fast decline followed by a fast advance, or even a slow decline followed by a quick rally from the bottom with secon¬dary reactions until it advances to higher levels. "U" BOTTOM OR A FLAT BOTTOM This “U” bottom is a formation where a stock remains for 3 to 10 weeks or more in a narrow trading range, making about the same top and bottom levels several times; then when it crosses the intermediate tops, it has formed a "U" or a flat bottom and is at the breakaway point....a safe place to buy. “W” BOTTOM OR DOUBLE BOTTOM When a stock declines and makes bottom; then rallies for 2 to 3 weeks or more; declines and makes a bottom around the same level the second time; then advances and crosses the previous top, it has formed a "W" or double bottom. It is safe to buy when it crosses the top or middle of the "W".... Which is the BREAKAWAY POINT. "WV" BOTTOM OR TRIPLE BOTTOM This is a third higher bottom after a double bottom or three bottoms near the same level. It is safe to buy when a stock has formed a "W" and a "V" on the side and crosses the second top of the "W". "W W" BOTTOM OR A 4-BOTTOM FORMATIONS This formation shows first, second, third and fourth, bottoms. The safest point to buy is at the BREAKAWAY POINT or when a commodity crosses the middle point of the second "W". RESISTANT SUPPORT LEVELS Divide the highs, lows, and ranges into 1/8th and 1/3rd. This will give 12.5 %, 25%, 33.3%, 37.5%, 50%, 62.5%, 66.6%, 75%, 87.5% and 100%. W. D. Gann was the first trader to do this and all traders since then say they don’t use Gann are misleading you because they all use these support and resistance levels. Look to buy and sell on these levels providing the market is conforming to the previous condition set out in this article. STRATEGY With W. D. Gann’s method you should divide your capital into 10 equal parts (Rules to Follow) therefore this would equal $500 U.S. There might only be 3 trending
markets therefore you would only use $1500U.S. You wouldn’t be able to trade futures, you would only be able to trade options. The cheapest way is to do Bull call spreads and Bear put spreads. This will keep your costs down. If you get a strong trending market then you can buy out of the money calls or puts. Example is December cotton chart enclosed. If you bought a call 5 cents out of the money at the double bottom for $900 and sold a call 10 cents out of the money for $400 (actual costs) you would have a net cost of $500.00. When the market went up to 25% retracetment for $1520 U.S (minus costs $500) give you net profit of $1000. Do that 10 times in different markets you have doubled your money. Now you have a $10,000 account and you apply the same rules by dividing into 10 equal parts or when the market broke the 50% level at 62 cents you brought a call out of the money strike of 10 cents (72 cent strike) for $400, it would have been worth $6,000 U.S. The top 84.80 minus strike of 72 – cost of option. Now that you have made money you now need to keep it. GANNS 28 RULES TO BE READ EVERY DAY: TWENTY-EIGHT VALUABLE RULES In order to make a success trading in the commodity market, the trader must have definite rules and follow them. The rules given below are based upon my personal experience and anyone who follows them will make a success. 1. Amount of capital to use: Divide your capital into 10 equal parts and never risk more than one-tenth of your capital on any one trade. 2. Use stop loss orders. Always protect a trade when you make it with a stop loss order 1 to 3 cents, never more than 5 cents away, cotton 20 to 40, never more than 60 points away. 3. Never overtrade. This would be violating your capital rules.\ 4. Never let a profit run into a loss. After you once have a profit of 3 cents or more, raise your stop loss order so that you will have no loss of capital. For cotton when the profits are 60 points or more place stop where there will be no loss. 5. Do not buck the trend. Never buy or sell if you are not sure of the trend according to your charts and rules. 6. When in doubt, get out, and don't get in when in doubt. 7. Trade only in active markets. Keep out of slow, dead ones. 8. Equal distribution of risk. Trade in 2 or 3 different commodities, if possible. Avoid tying up all your capital in any one commodity. 9. Never limit your orders or fix a buying or selling price. Trade at the market. 10. Don't close your trades without a good reason. Follow up with a stop loss order to protect your profits.
11. Accumulate a surplus. After you have made a series of successful trades, put some money into a surplus account to be used only in emergency or in times of panic. 12. Never buy or sell just to get a scalping profit. 13. Never average a loss. This is one of the worst mistakes a trader can make. 14. Never get out of the market just because you have lost patience or get into the market because you are anxious from waiting. 15. Avoid taking small profits and big losses. 16. Never cancel a stop loss order after you have placed it at the time you make a trade. 17. Avoid getting in and out of the market too often. 18. Be just as willing to sell short as you are to buy. Let your object be to keep with the trend and make money. 19. Never buy just because the price of a commodity is low or sell short just because the price is high. 20. Be careful about pyramiding at the wrong time. Wait until the commodity is very active and has crossed Resistance Levels before buying more and until it has broken out of the zone of distribution before selling more. 21. Select the commodities that show strong uptrend to pyramid on the buying side and the ones that show definite downtrend to sell short. 22. Never hedge. If you are long of one commodity and it starts to go down, do not sell another commodity short to hedge it. Get out at the market; take your loss and wait for another opportunity. 23. Never change your position in the market without a good reason. When you make a trade, let it be for some good reason or according to some definite rule; then do not get out without a definite indication of a change in trend. 24. Avoid increasing your trading after a long period of success or a period of profitable trades. 25. Don't guess when the market is top. Let the market prove it is top. Don't guess when the market is bottom. Let the market prove it is bottom. By following definite rules, you can do this. 26. Do not follow another man's advice unless you know that he knows more than you do. 27. Reduce trading after first loss; never increase. 28. Avoid getting in wrong and out wrong; getting in right and out wrong; this is making double mistakes.
When you decide to make a trade be sure that you are not violating any of these 28 rules which are vital and important to your success. When you close a trade with a loss, go over these rules and see which rule you have violated; then do not make the same mistake the second time. Experience and investigation will convince you of the value of these rules, and observation and study will lead you to a correct and practical theory for successful Trading in Commodities. David is financial astrologer like W.D. Gann was. He has been studying astrology since 1980 and studying and trading the methods of W.D Gann since 1983. He conducts a limited number of 4 day workshops per year teaching the more complex methods of Gann such as, Time Cycles, square of 144, square of 52, square of 90, the 360 degree circle chart and the square of 9 chart. W. D. Gann coded two of his books. ‘The Tunnel Through the Air” and “Magic Word” for a free decoded copy of ‘The Tunnel Thru the Air” Contacts David’s website www.commhedge.com.au and for upcoming workshops. You need to be a registered user to access this information.
Price levels can create changes in price 11.01.2004 Continuing on from last section, we will look at price support and resistance levels. Keeping in mind this is only secondary to time cycles which create the biggest change in trends because when time is up, price will reverse. I will cover time cycles in future articles. Getting back to price - Gann broke the prices into parts of a circle to give natural price support and resistance and they are based on the following table:After the market crashed from $1.89 down to $0.35 in 1865, it rallied back that same year to $1.20 (around the 37.5% retracement). Moving forward to the 1970's, the low from which the market rallied was around $0.24 which is 87.5% retracement from the all time high.
1 circle = 360 degrees or 100% 3/4 circle = 270 degrees or 75% 5/8 circle = 225 degrees or 62.5% 3/8 circle = 135 degrees or 37.5% 1/4 circle = 90 degrees or 25%
7/8 circle 87.5% 2/3 circle 66.6% 1/2 circle 50% 1/3 circle 33.3% 1/8 circle 12.5%
= 315 degrees or = 240 degrees or = 180 degrees or = 120 degrees or = 45 degrees or
For example, if we take the all time high of $1.89 made on the 23rd August, 1864, we will end up with the following support and resistance levels:-
100% = 0>
87.5% = $0.236
75% = $0.4725 62.5% = $0.708 37.5% = $1.181 25% = $1.417
66.6% = $0.6291 50% = $0.945 33.3% = $1.258 12.5% = $1.653
It then moved up to the $0.90 level in 1974 which is just under the 50% retracement this area always gives the strongest resistance. It has hit near the 50% level on a number of occasions, in 1981 at $0.9767, 1991 at $0.9225 and 1996 at $0.8910. The only time that it has busted through this level was in April, 1995 when it went to $1.1720 which was very close to the 37.5% level of the major high. This level caused a major sell off and May cotton has since fallen to $0.6970 this year, which is just below the 62.5% retracement creating the current support level. All highs and lows are to be determined the same way. The strongest points are going to be when we get a cluster of prices around the same level. All commodities are calculated in the same manner as cotton.
Veiled in a coded language W.D. Gann believed that the masses were generally lazy and therefore not prepared to put in the effort required to work out his systems. Although he knew that there would be great rewards for those who invested the time and energy into studying his methods he wanted only the dedicated few to reap the benefits of his knowledge. He decided to disguise his most important findings in coded books such as ‘Tunnel Thru the Air’ and ‘Magic Word’. He scattered clues throughout the books by mistaking dates, places, names etc. These mistakes were clues that only an astute student would detect. Gann was a mistrusting man. He would regularly test his student’s loyalty. He developed a tracking system whereby he would change a letter on random pages to enable him to detect if the student was copying the information and passing it on to others. He is quoted as saying he ‘would not reveal his secrets at any price. It takes time to learn anything and most people are not worthy of the knowledge’. So much was his distrust he applied the same misgivings to his son. Gann did not hold much value in a person’s word. He would even review a person’s birth chart to see if they could keep a secret before he would share any of his knowledge with them. W.D. Gann was a millionaire, 50 times a millionaire actually, he had enough money to uphold his lifestyle until his death but he continued to trade the markets, speculate on the Cuban lottery or gamble on the horses. He didn’t do it for the money; he had a thirst for knowledge and wanted to know why and how systems, numbers, cycles etc. worked. Gann believed that good health was the most prized possession and that knowledge was a close second. If you are mindful of this, have good health and have acquired enough money to live a quality lifestyle until your death, you will then be able to focus on expanding your knowledge. He was a strong believer that both health and knowledge are the foundations for accumulating wealth.
Below is the content of a letter Gann wrote to a student on 18 January 1954. At first glance the information in the letter appears to be accurate however on closer inspection there are a number of deliberate errors. The errors have been identified and the corrections are highlighted. SOYBEANS PRICE RESISTANCE LEVELS. The one-half point of the highest selling level price and the one-half between the high and low are very great because these equal the 45 degrees angle or the gravity centre. For May Beans these prices are 218 ⅜, 240 ⅜, 251 ⅞, and 319 ⅛. On a weekly or monthly chart, use the date when the extreme high or extreme low is made and draw a 45 degree angle up and down starting from the above half way points. These angles are very important for determining highs and lows and a change in trend. From the extreme lows or extreme highs, you add or subtract the proportionate parts of the circle, as given below. 44 add to 360 gives 404. From 404 subtract 90 gives 314, and the degree in the sign is 14 degrees Aquarius. 90 degrees or square from this is 234 or 16 degrees Scorpio (224 or 14 degrees Scorpio). 436 ¾ minus 360 gives 76 ¾ or 16 degrees 45’ in the sign Gemini. Subtract 120 gives 16 degrees 45’ Aquarius or a price of 316 ¾. A square or 90 degrees from this is 16 degrees 45’ Scorpio, price 226 ¾. The lows of 67, 68 and 69 equal 7, 8 and 9 degrees in Gemini. 120 degrees subtracted gives 307, 308 and 309, the triangle points which are 7, 8, and 9 degrees Aquarius. Subtract 90 degrees from these points gives 217, 218 and 219 or 7, 8 and 9 degrees in Pisces. (Subtract 90 degrees gives 217,218 and 219 or 7, 8 and 9 degrees in Scorpio). 131 high, (the high in December 1939) add 180, gives 311 or 11 degrees Aquarius. Subtract 90 gives 221 or 11 degrees Scorpio. October 5, 1936, future trading started in soybeans. The first sale was 120. Add 180 gives 300 or 30 degrees in Capricorn. 218 ⅜ is 8 degrees 22’ in Scorpio. Add 90 gives 308 ⅜ or 8½ degrees in Aquarius. 240⅜ is 0 degrees 22’ in Sagittarius. Add 60 gives 300 ⅜. Add 90 give 330⅜ 251⅞ is 12 degrees Sagittarius. Add 60 gives 311⅞ or 12 degrees Aquarius. Add 90 gives 348 (342) or 12 degrees Pisces. 1930, June high 216.equals 6 degrees Scorpio. Add 90 gives 306 or 6 degrees Aquarius. Add 225 (225 is 5/8 of a circle) gives 441, which is the square of 21, and 441 is 21 degrees in the sign Gemini, ( 441 minus 360 equals 81) which is 81 more than 360, the square of 9. 436¾ subtract 135 gives 201 (301)¾ or 1 degree 45’ Aquarius. Subtract 180 gives 256 ¾ or 16 degrees 45’ Sagittarius. Subtract 225 gives 221 ¾ or 1 degree 45 ‘Sagittarius. (Subtract 225 gives 211 ¾ or 1 degree Scorpio)
344 ½, subtract 33 ¾ gives (breaking the circle into 32 seconds times 3) 310 ¾ or 10 degrees 45’ Aquarius. Subtract 45 gives 299 ½ or 29 degrees 30’ Capricorn. 120, add 90 gives 210 or 30 degrees Scorpio. Add 125 (135) gives 255 or 15 degrees Sagittarius. Add 180 gives 300 or 30 degrees Capricorn. 67 add 90 gives 157 or 7 degrees Virgo. Add 135 gives 202 or 22 degrees Libra. Add 120 gives 127 (187) or 7 degrees Libra. Add 180 gives 247 or 7 degrees Sagittarius. Add 225 gives 292 or 22 degrees Capricorn. Add 240 gives 307 or 7 degrees Aquarius. Add 270 gives 337 or 7 degrees Pisces. Add 315 gives 382 or 22 degrees Aries. Add 360 gives 427 or 7 degrees Gemini. Add 271¼ (371¼ ) gives 438¼. High on May beans was 436¾. After that high the next extreme low was 201 and a half. Note that 67 plus 125 (135) gives 202 and one half of 405 is 202 and a half. 180 plus 22 ½ gives 202 and a half which are the mathematical reasons why May Soy Beans made bottom at 201 ½. All of the above price levels can be measured in Time Periods of days, weeks and months, and when the time periods come out at these prices, it is important for a change in trend, especially if confirmed by the geometrical angles from highs and lows. ACTIVE ANGLES AND DEGREES By live or active angles is meant Prices and Time Periods where Longitude of the major planets are or where the squares, triangles, oppositions are to these planets. The average of the six major planets Heliocentric and Geocentric are the most powerful points for Time and Price resistance. Also the Geocentric and Heliocentric average of the five major planets with Mars left out, it’s of great importance and should be watched. You should also calculate the average of eight planets which move around the Sun as this is the first most important odd square. The square of ‘1’ is one and ‘1’s the Sun. 8 added to ‘1’ gives 9, the square of 3 and completes the first important odd square, which is important for Time and Price. Examples of live, active angles: At the present writing, January 18 1954, Saturn Geo. is 8 to 9 degrees Scorpio. Add the square or 90 degrees gives 8 to 9 degrees Aquarius and equals the price 308-309, for May Beans. The planet Jupiter is at 21 degrees Gemini, which is 81 degrees in longitude from ‘0’, the square of 9. Subtract 135 degrees from Jupiter gives 306 or 6 degrees Aquarius. This is why Soy Beans have met resistance so many times between 306 and 311 and a half. The Price Resistance levels come out strong around these degrees and prices and the Geometrical angles come out on daily, weekly and monthly, but the power of Saturn and Jupiter aspects working out Time to these Price Resistance Levels, is what halts the advance in Soy Beans. 24 Revolutions of Time and Price The earth makes revolution on its axis in 24 hours, moving 360 degrees in longitude. One hour of Time equals 15 degrees in longitude and for one hour of Time, we use one cent of Price. This is for daily active markets but can be used for weekly and monthly time periods, as you can see by the Master Charts. The Longitude of the Planets and the longitude of the average of the planets determine the Resistance Levels as the price moves around each cycle of 24 cents per bushel. You mark on the Master Chart all low prices with a red circle around them and place around all high prices a green circle. Then note the angles of 45, 60, 90, 120, 135, 180, 225, 240, 270, 300, 315 and 360 from each high and low. Then check the longitude of the
planets and the longitude of the average of the planets to see when the Price reaches these degrees or aspects and meets resistance. Example: Dec. 2 1953, May Soy Beans high 311 and a half. This equalled 18 degrees 45’ in Pisces, close square or 90 degrees of Jupiter, 135 degrees to Saturn and 180 degrees of the averages and 120 degrees of Uranus. 300 price equals 30 degrees Virgo. 302 equals 30 degrees Libra. 304 equals 30 degrees Scorpio. On Jan 18 1954 the planet Saturn Geo. Is 8 degrees 30’ Scorpio and 15 degrees Scorpio gives a price of 303, therefore when May Beans decline to 302 they will be below the body or longitude of Saturn and will indicate lower. At the same time using the Earth’s annual revolution of 365 and a quarter days to move around the Sun, a price of 308 and a half is 90 degrees or square to Saturn. As long as the price is below 308 and a quarter it is within the square and in position to go lower. But by the 24 revolution when the price breaks below 304, it is in the bear sign Scorpio, a fixed sign and will indicate lower prices. Study and analyse all options of all commodities in the same way as we have analysed May Beans. Remember, when these Resistance Points are met you must give the market some time to show that it is making tops or bottoms and getting ready to make a change in trend. Do not guess; wait until you get a definite indication of a change in trend before deciding that the main trend has changed. You can buy or sell against these resistance levels and place a stop loss order. Having before you all of the information outlined above, you would certainly have gone short of May Soy Beans on Dec. 2 1953 and cover your shorts on Dec 17 at 296 because the price was down to the 45 degree angle from 44 on the Monthly high and low chart. 24 Cents or More It is important to watch the action on the daily and weekly chart when the price is up or down 24 cents from any high or low, 48 cents, 72 cents most important because three times 24, 96 cents, 120 or 5 times 24, 144 of great importance because 6 times 24 and the square of 12, 168 which is 7 times 24 – very important. You can also use one-half of 24, which is 12, and watch 36, 60, 84, etc. which equals 180 degrees or half the circle or cycle. By D.K.Burton Website www.commhedge.com.au
W.D. Gann Unveiled By D K Burton W.D.Gann spent all his life studying cycles and numbers. Gann was a financial astrologer, a Freemason and studied the bible to decipher cycles. Gann made large amounts of money trading, gambling on the horse races and playing the Cuban lottery. Gann was a Shriner which is a name applied to the “Ancient Arabic Order Nobles of the Mystic Shrine” He also was a member of the “Order of the Magi” in Chicago. As well as being a member of the “Mark Twain Society” (the pen name of “Samuel Langbourne Clemens”) who also was a Freemason. Gann said to “Buenos Aires Herald” (21/3/1935) that he has records of grain dating back 1000 years and cotton records nearly 400 years. The former, he was able to gather the most accurate information from old British records whilst in his search for cotton cycles he visited Egypt and India.
His third wife died around 1996. Gann died in 1955. She was 35 and Gann was around 65 when they were married. A close friend of mine visited her and she stated “one day Gann went to the races and she received a phone call late one night saying could you come and pick up your husband as we fear for his life, he has made so much money it is bursting out of his pockets”. Some people say he died broke. I don’t believe this to be true, as taxes were well over 80% in the 40’s and 50’s and he most likely left his money in Cuba. You can’t have an office on Wall Street for 40 years employing 9 staff, own two planes and be earning no money. Gann was quoted in a number of newspapers that he used the planes to inspect crops; this is highly unlikely as he new in advance what the market was doing. This is proven in “Tunnel thru the air” were he forecast the exact top and price of cotton on the 8th September 1927 at 24.40 (page 196), also check page 208 of “How to make profits in Commodities” for the exact time and price. He also forecast that the stock exchange would close due to panic selling on the 3rd October 1931, the low was on the 5th October and the market rallied from 85.51 to a high of 119.15 on the 9th November 1931 as predicted in “Tunnel thru the air” on page 321 to 323. The book was published on the 9th May 1927. It was possible that the planes were a tax deduction and he flew the money he made to South American bank account. Anyone who is a Freemason understands that it is a secret society and knowledge is passed on through rituals and symbolism. It is only the initiated few of the highest order that would understand anything of ancient geometry and astronomy, being two of the several liberal arts. The seven liberal arts stand for each of the seven ancient planets being Saturn, Jupiter, Mars, Venus, Sun, Mercury and Moon. Saturn is the master of the lodge and the other planets are allocated to the other positions in the lodge. You cannot have a lodge meeting unless you have a least seven people attending. Lodge meetings in the past were conducted on every new moon, although today it is not practical, therefore they are run on a nominated day of the week once a month. The USA independence was set up astrologically by 57 men, 56 of whom were Freemasons and it was set up on the 4th July 1776 for a specific reason. 56 is also twice 28 which is mentioned in the following pages. A large number of the US Presidents have been Freemasons. The 4th of July is 120 degrees from the 4th March and the 4th of November. In the past the President was elected on the 4th of November but never took office until the 4th of March making up the triangle. If you have studied history you would also know that the Federal Government never became effective until the 4th March 1789 exactly 13 years after American Independence was declared. The US 1 dollar bill is also coded i.e., there is an eagle holding 13 arrows in 1 claw and there is a branch of 13 leaves in the other claw. There are 13 stars above the eagles head and 13 stripes on the eagle’s breast totalling 52, which represents the weeks in a year. There was originally 13 States of America. The eagle is represented by the astrological sign of Scorpio. Gann never got on with his son and his son didn’t believe in astrology. His son John was born in 1915 with Merury, Saturn, Pluto conjunction all square Gann’s natal Saturn. They would have argued all the time and that’s why John discredited his father. His son used to sit in Gann’s office making paper planes and tossing them out the window. Therefore,
Gann didn’t believe his son warranted receiving the knowledge he had gained over 50 years of researching, therefore all the knowledge went to his grave except for the small amount he passed on through coded works. . A lot of Gann’s astrology was coded or masked by the use of numbers and this is evident in the cycles in the commodity and stock courses as well as the two books titled “ The Tunnel Thru The Air” and the “Magic Word”. How Gann coded astrological cycles with numbers: 90 year cycle = 3 Saturn Cycles of 29.56 years, which equal 88.68 years 2 synodic cycles of Saturn/Uranus which are 45.36 years. This equals 90.72 years. The 82 to 84 year cycle is the Uranus cycle of 84.02 years. The 60 years cycle is 2 Saturn cycles or 3 Jupiter/Saturn synodic cycles. The 58.92 years and 59.58 years respectively. 49 to 50 year cycle is Uranus changing 7 zodiac signs of 7 years each. 45 year cycle is the Saturn/Uranus cycle of 45.36 years. 30 year cycle is the Saturn cycle of 29.56 years. 20 year cycle is the Jupiter/Saturn synodic cycle of 19.86 years 15 year cycle is half the Saturn cycle. 10 year cycle is half the Jupiter/Saturn synodic cycle. 9 year cycle is half the node cycle of 18.6 years. 7 year cycle is Uranus changing one sign of the zodiac or a movement of 30 degrees. 5 year cycle is 1/6 of the 30 year cycle or 1/4 of the 20 year cycle. The 1 year cycle is the movement of the earth around the sun. If you are looking for large cycles to coincide with major lows or highs exactly 60 or 90 years ago, then you are deluding yourself. The key is to know when the smaller cycles are lining up with the larger cycles. The larger cycles create the condition and the smaller cycles like Mars create the trigger. The large cycles can force the smaller cycles to “flip flop” or reverse. This is why you might see the smaller cycle go low, low, high or high, high, low etc. When you have data of less than 30 years you then need to know which charts to draw and from where to run the geometric angles. Data of less than 30 years means you need to look at economic and weather conditions to give you an overall trend for the future. Usually in a recession, depression or boom most commodities top or bottom within two years of each other. Most commodities go back more than 30 years and the major stocks also go back over 20 years. These types of markets, with the longer term data are the ones to forecast and trade, i.e. wheat, corn and coffee.
The geometric angles are a moving average of price and time and therefore, are much more useful than any other indicators utilised in today’s modern trading. The reason being that geometric angles can be projected into the future whereas all other systems are lagging indicators and are based on price only. The geometric angle works best on weekly and monthly charts as they keep you with the trend when drawn correctly. On daily chart the geometric angles are crossed frequently and therefore changes in the trend often occur. They are useful only as entry into the market when trading with the main trend. Gann was born in the very strong bible belt of Texas. This is the reason he coded astrology with numbers, because the bible is coded astrologically and conforms to numerical principles. The “The Tunnel Thru The Air” or looking back from 1940 is completely coded in numbers and astrology. Some examples of astrology in “The Tunnel Thru The Air” are: On page 50 Ezekiel 1: 4-16: “As for the likeness of their faces, they four had the face of a man, and the face of a lion on the right side; and they four had the face of an ox on the left side; they four also had the face of an eagle.” This is represented in the Bible by the 12 tribes of 144,000 men to each tribe: Judah Leo Sun = Lion Naphatli Virgo Mercury Asher Libra Venus Dan Scorpio Mars = Eagle Reuben Sagittarius Jupiter Gad Capricorn Saturn Simon-Levi Aquarius Saturn = Man Benjamin Pisces Jupiter Joseph Aries Mars Manasseh Taurus Venus = Ox Zebulun Gemini Mercury Issachar Cancer Moon The lion, eagle, man and the ox are the fixed cross of the zodiac or represent the 45, 135, 225 and 315 degrees of a circle. On page 66 Robert Gordon states: “I believe in the stars, I believe in astrology and I have figured out my destiny.” On page 77 Robert Gordon states: “ It is just as easy to figure out 100 years or 1000 years into the future as one or two years ahead, if you have the correct starting point and know the cycle which is going to be repeated.” On page 78 Robert Gordon states: “It is not my aim to explain the causes of cycles. The general public is not yet ready for it and probably would not understand it or believe it if I explained it.” “In every law of nature there is a major and a minor; a positive, a negative, and a neutral. Therefore, in cycles there must be a lesser, a greater and intermediate cycle, or cycles within cycles. Like Ezekiel says: “Wheel within a wheel.” There are numerous biblical quotes in “The Tunnel Thru The Air”, anyone who has studied the bible knows that this book is also a mask for astrology. For example page 69 in “The Tunnel Thru the Air” “For as Jonas was three days and three nights in the whales’ belly; so shall the Son (Sun) of man be three days and three nights in the heart of the earth.” The three days and three nights represents for the apparent standing still of the Sun as viewed from the Earth which occurs between the 22nd and 25th of December each year. Jesus was not born on the 25th of December, this is the first day that the Sun’s apparent
moves north in the northern hemisphere (middle of winter). There is a symbolic ritual in Freemasonry when a Mason is raised to the 3rd degree where symbolically you are lifted from the body of the earth in darkness. The 3 degrees represents the 3 days when the sun stands still. “No sign shall be given, but the sign of the prophet Jonas.” “I believe there is a secret meaning in what he said; the son (sun) of man be three days and three nights in the heart of the earth. Jesus died on the cross, the cross representing the four main cardinal points of the zodiac, Aries, Cancer, Libra and Capricorn or the four seasons of the year. Aries being the start of the spring season in the northern hemisphere is the commencement of growth and this begins on the 21st of March each year. At the death of every cycle a new one commences and this is what is represented by Jesus dying on the cross. Seven is a number used throughout “The Tunnel Thru The Air”. WD Gann was born on the 6th June 1878 and Robert Gordon was born on the 9th June 1906. This is 28 years apart or 4 x 7 years. The time between 1878 and the year he published the book in 1927, is 49 years, 7 x 7 years. The difference between 1906 and 1927 is 21 years, 3 x 7 years. The book title has 36 letters leaving out 1940. If you convert 1940 to letters you have 49 letters, again 7 x 7. There are 36 chapters as well. The original dust cover has 16 planes, not scales, hourglass and compass etc. This is a cover Billy Jones created who purchased the Gann material off Lambert-Gann in the 70s. The square, circle and triangle is not a Gann emblem, but is a Masonic symbol. You need also to study the original dust cover. Without decoding the whole book, Chapter 7 is called “future cycles” and it starts on page 75. There are 418 pages to the book. 418 minus 75 equals 343, 7 x 7 x 7. Anyone who knows astrology knows that 343 is half a Mars cycle. There are a lot of clues that Gann used astrology, but I will reveal the two charts in one, Gann’s birth date (6/6/1878) and two, the date that The Tunnel Thru The Air” was written (9/5/1927). Two of the major planets Jupiter and Uranus on the 9th May 1927 conjunct (zero degrees) Gann’s Saturn. Also Saturn trines Gann’s Saturn (120 degrees). Neptune conjuncts Gann’s Uranus and Moon conjuncts Gann’s Moon. “The Tunnel Thru The Air” is a love story for the masses however, but Neptune being the planet of illusion and conjuncting Gann’s Uranus reveals that there is more to this book than being a novel. “The Magic Word” Jehovah is Hebrew and is a great and sacred name. It is written JHVH. The correct pronunciation is JOD-HAV-VAU-HAV and has a numeric value of 10-6-5-6 or 1656. 1656 is the total number of years of the patriarchs. The Hebrews used gematria for the conversion of letters to numbers. Age of Adam at the birth of Seth 130 years “ Seth “ “ Enos 105 years “ Enos “ “ Cainan 90 years “ Cainan “ “ Mahalaleel 70 years “ Mahalaleel “ “ Jared 65 years “ Jared “ “ Enoch 162 years “ Enoch “ “ Methuselah 65 years “ Methuselah “ “ Lamech 187 years “ Lamech “ “ Noah 182 years “ Noah at the time of Flood, 600 years
Total of years from Epoch 1656 years Beginning of the record, B.C. 4004 years Date of the Flood, B.C. 2348 years Without going into further detail, to obtain a full and comprehensive understanding of the mysteries of WD Gann’s work requires a lifetime commitment to study and research. If you are not studying astrology when studying the Gann method, then you are only completing part of the research. Modern astrology doesn’t work; you will need to study ancient astrology. It is not my aim to disclose twenty four years of research, but to give you an introduction to the authentic methods of WD Gann. The methods I utilise are more for position trading rather than day trading which allows for further research and study on WD Gann’s methods. The wise man rules his star’s and the fool obeys them! To make accurate forecasts and trades you need accurate data. I use C.S.I. Data. E-mail –
[email protected] and mention my name you will get your history data at a discount. Website iswww.csidata.com
W.D. Gann Unveiled By D K Burton W.D.Gann spent all his life studying cycles and numbers. Gann was a financial astrologer, a Freemason and studied the bible to decipher cycles. Gann made large amounts of money trading, gambling on the horse races and playing the Cuban lottery. Gann was a Shriner which is a name applied to the “Ancient Arabic Order Nobles of the Mystic Shrine” He also was a member of the “Order of the Magi” in Chicago. As well as being a member of the “Mark Twain Society” (the pen name of “Samuel Langbourne Clemens”) who also was a Freemason. Gann said to “Buenos Aires Herald” (21/3/1935) that he has records of grain dating back 1000 years and cotton records nearly 400 years. The former, he was able to gather the most accurate information from old British records whilst in his search for cotton cycles he visited Egypt and India. His third wife died around 1996. Gann died in 1955. She was 35 and Gann was around 65 when they were married. A close friend of mine visited her and she stated “one day Gann went to the races and she received a phone call late one night saying could you come and pick up your husband as we fear for his life, he has made so much money it is bursting out of his pockets”. Some people say he died broke. I don’t believe this to be true, as taxes were well over 80% in the 40’s and 50’s and he most likely left his money in Cuba. You can’t have an office on Wall Street for 40 years employing 9 staff, own two planes and be earning no money. Gann was quoted in a number of newspapers that he used the planes to inspect crops; this is highly unlikely as he new in advance what the market was doing. This is proven in “Tunnel thru the air” were he forecast the exact top and price of cotton on the 8th September 1927 at 24.40 (page 196), also check page 208 of “How to make profits in Commodities” for the exact time and price. He also forecast that the stock exchange would close due to panic selling on the 3rd October 1931, the low was on the 5th October and the market rallied from 85.51 to a high of 119.15 on the 9th November 1931 as predicted in “Tunnel thru the air” on page 321 to 323. The book was published on the 9th May 1927. It was possible that the planes were a tax deduction and he flew the money he made to South American bank account.
Anyone who is a Freemason understands that it is a secret society and knowledge is passed on through rituals and symbolism. It is only the initiated few of the highest order that would understand anything of ancient geometry and astronomy, being two of the several liberal arts. The seven liberal arts stand for each of the seven ancient planets being Saturn, Jupiter, Mars, Venus, Sun, Mercury and Moon. Saturn is the master of the lodge and the other planets are allocated to the other positions in the lodge. You cannot have a lodge meeting unless you have a least seven people attending. Lodge meetings in the past were conducted on every new moon, although today it is not practical, therefore they are run on a nominated day of the week once a month. The USA independence was set up astrologically by 57 men, 56 of whom were Freemasons and it was set up on the 4th July 1776 for a specific reason. 56 is also twice 28 which is mentioned in the following pages. A large number of the US Presidents have been Freemasons. The 4th of July is 120 degrees from the 4th March and the 4th of November. In the past the President was elected on the 4th of November but never took office until the 4th of March making up the triangle. If you have studied history you would also know that the Federal Government never became effective until the 4th March 1789 exactly 13 years after American Independence was declared. The US 1 dollar bill is also coded i.e., there is an eagle holding 13 arrows in 1 claw and there is a branch of 13 leaves in the other claw. There are 13 stars above the eagles head and 13 stripes on the eagle’s breast totalling 52, which represents the weeks in a year. There was originally 13 States of America. The eagle is represented by the astrological sign of Scorpio. Gann never got on with his son and his son didn’t believe in astrology. His son John was born in 1915 with Merury, Saturn, Pluto conjunction all square Gann’s natal Saturn. They would have argued all the time and that’s why John discredited his father. His son used to sit in Gann’s office making paper planes and tossing them out the window. Therefore, Gann didn’t believe his son warranted receiving the knowledge he had gained over 50 years of researching, therefore all the knowledge went to his grave except for the small amount he passed on through coded works. . A lot of Gann’s astrology was coded or masked by the use of numbers and this is evident in the cycles in the commodity and stock courses as well as the two books titled “ The Tunnel Thru The Air” and the “Magic Word”. How Gann coded astrological cycles with numbers: 90 year cycle = 3 Saturn Cycles of 29.56 years, which equal 88.68 years 2 synodic cycles of Saturn/Uranus which are 45.36 years. This equals 90.72 years. The 82 to 84 year cycle is the Uranus cycle of 84.02 years. The 60 years cycle is 2 Saturn cycles or 3 Jupiter/Saturn synodic cycles. The 58.92 years and 59.58 years respectively. 49 to 50 year cycle is Uranus changing 7 zodiac signs of 7 years each.
45 year cycle is the Saturn/Uranus cycle of 45.36 years. 30 year cycle is the Saturn cycle of 29.56 years. 20 year cycle is the Jupiter/Saturn synodic cycle of 19.86 years 15 year cycle is half the Saturn cycle. 10 year cycle is half the Jupiter/Saturn synodic cycle. 9 year cycle is half the node cycle of 18.6 years. 7 year cycle is Uranus changing one sign of the zodiac or a movement of 30 degrees. 5 year cycle is 1/6 of the 30 year cycle or 1/4 of the 20 year cycle. The 1 year cycle is the movement of the earth around the sun. If you are looking for large cycles to coincide with major lows or highs exactly 60 or 90 years ago, then you are deluding yourself. The key is to know when the smaller cycles are lining up with the larger cycles. The larger cycles create the condition and the smaller cycles like Mars create the trigger. The large cycles can force the smaller cycles to “flip flop” or reverse. This is why you might see the smaller cycle go low, low, high or high, high, low etc. When you have data of less than 30 years you then need to know which charts to draw and from where to run the geometric angles. Data of less than 30 years means you need to look at economic and weather conditions to give you an overall trend for the future. Usually in a recession, depression or boom most commodities top or bottom within two years of each other. Most commodities go back more than 30 years and the major stocks also go back over 20 years. These types of markets, with the longer term data are the ones to forecast and trade, i.e. wheat, corn and coffee. The geometric angles are a moving average of price and time and therefore, are much more useful than any other indicators utilised in today’s modern trading. The reason being that geometric angles can be projected into the future whereas all other systems are lagging indicators and are based on price only. The geometric angle works best on weekly and monthly charts as they keep you with the trend when drawn correctly. On daily chart the geometric angles are crossed frequently and therefore changes in the trend often occur. They are useful only as entry into the market when trading with the main trend. Gann was born in the very strong bible belt of Texas. This is the reason he coded astrology with numbers, because the bible is coded astrologically and conforms to numerical principles. The “The Tunnel Thru The Air” or looking back from 1940 is completely coded in numbers and astrology. Some examples of astrology in “The Tunnel Thru The Air” are:
On page 50 Ezekiel 1: 4-16: “As for the likeness of their faces, they four had the face of a man, and the face of a lion on the right side; and they four had the face of an ox on the left side; they four also had the face of an eagle.” This is represented in the Bible by the 12 tribes of 144,000 men to each tribe: Judah Leo Sun = Lion Naphatli Virgo Mercury Asher Libra Venus Dan Scorpio Mars = Eagle Reuben Sagittarius Jupiter Gad Capricorn Saturn Simon-Levi Aquarius Saturn = Man Benjamin Pisces Jupiter Joseph Aries Mars Manasseh Taurus Venus = Ox Zebulun Gemini Mercury Issachar Cancer Moon The lion, eagle, man and the ox are the fixed cross of the zodiac or represent the 45, 135, 225 and 315 degrees of a circle. On page 66 Robert Gordon states: “I believe in the stars, I believe in astrology and I have figured out my destiny.” On page 77 Robert Gordon states: “ It is just as easy to figure out 100 years or 1000 years into the future as one or two years ahead, if you have the correct starting point and know the cycle which is going to be repeated.” On page 78 Robert Gordon states: “It is not my aim to explain the causes of cycles. The general public is not yet ready for it and probably would not understand it or believe it if I explained it.” “In every law of nature there is a major and a minor; a positive, a negative, and a neutral. Therefore, in cycles there must be a lesser, a greater and intermediate cycle, or cycles within cycles. Like Ezekiel says: “Wheel within a wheel.” There are numerous biblical quotes in “The Tunnel Thru The Air”, anyone who has studied the bible knows that this book is also a mask for astrology. For example page 69 in “The Tunnel Thru the Air” “For as Jonas was three days and three nights in the whales’ belly; so shall the Son (Sun) of man be three days and three nights in the heart of the earth.” The three days and three nights represents for the apparent standing still of the Sun as viewed from the Earth which occurs between the 22nd and 25th of December each year. Jesus was not born on the 25th of December, this is the first day that the Sun’s apparent moves north in the northern hemisphere (middle of winter). There is a symbolic ritual in Freemasonry when a Mason is raised to the 3rd degree where symbolically you are lifted from the body of the earth in darkness. The 3 degrees represents the 3 days when the sun stands still. “No sign shall be given, but the sign of the prophet Jonas.” “I believe there is a secret meaning in what he said; the son (sun) of man be three days and three nights in the heart of the earth. Jesus died on the cross, the cross representing the four main cardinal points of the zodiac, Aries, Cancer, Libra and Capricorn or the four seasons of the year. Aries being the start of the spring season in the northern hemisphere is the commencement of growth and this begins on the 21st of March each year. At the death of every cycle a new one commences and this is what is represented by Jesus dying on the cross. Seven is a number used throughout “The Tunnel Thru The Air”.
WD Gann was born on the 6th June 1878 and Robert Gordon was born on the 9th June 1906. This is 28 years apart or 4 x 7 years. The time between 1878 and the year he published the book in 1927, is 49 years, 7 x 7 years. The difference between 1906 and 1927 is 21 years, 3 x 7 years. The book title has 36 letters leaving out 1940. If you convert 1940 to letters you have 49 letters, again 7 x 7. There are 36 chapters as well. The original dust cover has 16 planes, not scales, hourglass and compass etc. This is a cover Billy Jones created who purchased the Gann material off Lambert-Gann in the 70s. The square, circle and triangle is not a Gann emblem, but is a Masonic symbol. You need also to study the original dust cover. Without decoding the whole book, Chapter 7 is called “future cycles” and it starts on page 75. There are 418 pages to the book. 418 minus 75 equals 343, 7 x 7 x 7. Anyone who knows astrology knows that 343 is half a Mars cycle. There are a lot of clues that Gann used astrology, but I will reveal the two charts in one, Gann’s birth date (6/6/1878) and two, the date that The Tunnel Thru The Air” was written (9/5/1927). Two of the major planets Jupiter and Uranus on the 9th May 1927 conjunct (zero degrees) Gann’s Saturn. Also Saturn trines Gann’s Saturn (120 degrees). Neptune conjuncts Gann’s Uranus and Moon conjuncts Gann’s Moon. “The Tunnel Thru The Air” is a love story for the masses however, but Neptune being the planet of illusion and conjuncting Gann’s Uranus reveals that there is more to this book than being a novel. “The Magic Word” Jehovah is Hebrew and is a great and sacred name. It is written JHVH. The correct pronunciation is JOD-HAV-VAU-HAV and has a numeric value of 10-6-5-6 or 1656. 1656 is the total number of years of the patriarchs. The Hebrews used gematria for the conversion of letters to numbers. Age of Adam at the birth of Seth 130 years “ Seth “ “ Enos 105 years “ Enos “ “ Cainan 90 years “ Cainan “ “ Mahalaleel 70 years “ Mahalaleel “ “ Jared 65 years “ Jared “ “ Enoch 162 years “ Enoch “ “ Methuselah 65 years “ Methuselah “ “ Lamech 187 years “ Lamech “ “ Noah 182 years “ Noah at the time of Flood, 600 years Total of years from Epoch 1656 years Beginning of the record, B.C. 4004 years Date of the Flood, B.C. 2348 years Without going into further detail, to obtain a full and comprehensive understanding of the mysteries of WD Gann’s work requires a lifetime commitment to study and research. If you are not studying astrology when studying the Gann method, then you are only completing part of the research. Modern astrology doesn’t work; you will need to study ancient astrology. It is not my aim to disclose twenty four years of research, but to give you an introduction to the authentic methods of WD Gann. The methods I utilise are more for position trading rather than day trading which allows for further research and study on WD Gann’s methods. The wise man rules his star’s and the fool obeys them!
To make accurate forecasts and trades you need accurate data. I use C.S.I. Data. E-mail –
[email protected] and mention my name you will get your history data at a discount. Website iswww.csidata.com
W.D. Gann’s Forecasting Methods of Stocks and Bonds By D.K.Burton The legendary W.D. Gann (1878 – 1955) was one of the most successful investors of his time, and his methods still fascinate and inspire traders today. The study of Gann’s methods does take time and effort, but many find it valuable in discerning market moves. Gann employed nine staff and had an office on Wall Street for nearly 50 years. At that time there were no stock index futures, but he actively traded stocks based on a big-picture, cyclical market view. Working more than 60 hours a week in his quest for knowledge, Gann said, “with knowledge you can make money and more importantly keep it.” Here we’ll look at some examples of historical trends in stocks and bonds, and an overview of how Gann approached trading. I encourage you to use this information not as a specific trading recommendation, but as a basis for further study as you formulate your own strategies. Gann was both a financial astrologer and an economist. He studied all the panics of stocks and bonds going back to the early 1800s. Two of his core beliefs were that history always repeats, and human nature does not change. Outlined below are some of the U.S. stock market panics outlined in Gann’s book “Wall Street Stock Selector.” Example of Panics The 1884 market panic was due to over-speculation in stocks; gold flowed out of Europe and reserves were very low. There were big failures at this time, among them the failure of investment firm Grant & Ward. Call money, or overnight funds, had been high for several years preceding this panic, reaching a high of 30 percent in 1882, 25 percent in 1883 and 18 percent in 1884. The panic of 1890 was also largely influenced by over-speculation and high money rates. In 1889, call money reached a high of 30 percent and in 1890 was up as high as 45 percent. Commodities had reached the lowest levels since the Civil War, which helped to bring about business depression. The failure of Baring Brothers in London precipitated this panic. The 1893 panic was again brought about largely by high money rates. Call money rates in 1892 were up as high as 35 percent and in 1893 as high as 15 percent. Business failures were numerous amid low prices of commodities, principally wheat, corn and cotton. The 1896 panic was due to a silver scare and the fear that the gold standard would be disturbed. However, weak commodity prices had much to do with causing this panic, as general business conditions were poor until about 1902 - 1903. Call money rates reached 125 percent, the highest rate since the Civil War. The average price for stocks reached an extreme low on August 8, 1896, from which they started up and after the election of President William McKinley. The McKinley boom followed and carried through to 1907, which was the biggest stock boom in this country up to this time.
The 1901 panic occurred on the Stock Exchange on May 9, which was due to market manipulation (the corner) in Northern Pacific railroad stock. While stocks rallied after this panic, the general list continued to work lower for several years. In 1903 and 1904, the period of depression was due primarily to undigested securities and to conflicts between the government and railroads. Call money rates reached 15 percent in 1903 and went back as low as 1 percent in 1904 and did not get higher than 6 percent during the year. Business conditions again improved in the latter part of 1904, after the election of President Theodore Roosevelt. A bull market followed in 1905 and 1906, when stock market prices reached the highest since the McKinley boom started. The 1907 panic, known as the “rich man’s panic” was due to high money rates, over speculation, trust-busting and the use of the “big stick” by Roosevelt, and legislation against the railroads. Call money went as high as 125 percent in October 1907, when the panic was at its height. Banks were forced to suspend payments of currency all over the country. The 1910 - 1911 panic, or period of depression, was caused primarily by the Sherman Anti-Trust Act and was known as a period of trust-busting. The Standard Oil Company was ordered to dissolve, and a suit was brought to dissolve United States Steel Corporation, which later failed. Call money rates reached a high of 12 percent in 1910. Stock prices reached the lowest levels in July. Money conditions were easier in 1911, the call rate failing to get above 6 percent. The Great Traders The great traders like Gann and Jesse Livermore were never invested in stocks; they were traders and always used a stop loss to protect capital. Today, it seems likely they would just trade the indexes (index futures). Gann also didn’t believe in having debt – either personally or nationally. To use the Gann cycles you really need more than 30 years of data. U.S. Treasury bond futures have only been trading since 1977, so that market isn’t quite there yet. But if you study history between the bond and stock markets, you will see that bonds top at 18-month cycles, two years before the stock market tops, and vice-versa at the bottom. Bonds bottom 18 months to two years before stocks bottom. Note some historical patterns: Bonds Bottom 1981, Stocks 1982 Bonds Topped 1986, Stocks 1987 Bonds Topped 1988, Stocks 2000 Bonds Bottom 2000, Stocks 2002 Bonds Topped 2003, Stocks 2005? Treasury bonds have been trading between 100 and 120 for the last four years. They are currently in an uptrend, but my analysis using Gann cycles suggest they will be heading down soon. The first indication that the monthly trend in December 30-year bonds futures has turned down will be a close below the 1 x 2 Gann angle coming up from the low in 2003 of 110-30. The 1 x 1 Gann angle coming up from the low of 88.12 in January 2000 crosses at 108; below this is confirmation of the downtrend and that the cycles are working. I therefore feel the safest time to sell December bonds is at 108. Decennial Cycle and Bull and Bear Calendar Years Gann discovered the 10-year cycle, or decennial pattern. A lot of people now write about it in books and claim it to be theirs, but I believe it came from W.D.Gann’s 1935 forecasting course. By studying the yearly high and low chart and going back over a long
period of time, you will see the years in which bull markets culminate and the years in which bear markets begin and end. Each decade or 10-year cycle, which is 1/10th of 100 years, marks an important campaign. The digits from 1-9 are important. All you have to learn is to count the digits on your fingers in order to ascertain what kind of a year the market is in. No. 1 in a new decade is a year in which a bear market ends and a bull market begins. Look up 1901, 1911, 1921, 1931, 1941, 1951, 1961, 1971, 1981, 1991, 2001, and watch for 2011, and 2021. No. 2 or the second year is a year of a minor bull market, or a year in which a rally in a bear market will start at some time. See 1902, 1912, 1922, 1932, 1942, 1952, 1962, 1972, 1982, 1992, 2002, and watch for 2012, and 2022 No. 3 starts a bear year, but the rally from the second year may run to March or April before culmination, or a decline from the second year may run down and make bottom in February or March, like 1933. Look up 1903, 1913, 1923, 1933, 1943, 1953, 1963, 1973, 1983, 1993, 2003, and watch for 2013, and 2023. No. 4 or the fourth year, is a bear year, but ends the bear cycle and lays the foundation for a bull market. Compare 1904, 1914, 1924, 1934, 1944, 1954, 1964, 1974, 1984, 1994, 2004, and watch for 2014, and 2024. No. 5 or the fifth year is the year of Ascension, and a very strong year for a bull market. It can be a new bull market or a big correction in an existing uptrend. See 1905, 1915, 1925, 1935, 1945, 1955, 1965, 1975, 1985, 1995, 2005, and watch for 2015, and 2025. So far this year we are in a bearish trend. It’s important to note that yearly cycles within the overall scheme of Gann cycles are not a big factor, and you need to do further analysis. But in context, I would wait for a market sell-off into October to be a buyer, as long as the market (using Dow Jones Industrial Average as a benchmark) hasn’t broken main support of 9470. You don’t want to buy into October if major Gann angles or supports have been broken, and I stress the importance of considering many factors in making your decisions. No. 6 or the sixth year is a bull year, in which a bull campaign which started in the 4th year ends in the fall of the year and a fast decline starts. See 1896, 1906, 1916, 1926, 1936, 1946, 1956, 1966, 1976, 1986, 1996, and watch for 2006, 2016, and 2026. In 2006, I see either a correction in a big bear market or a new bull market; further analysis is warranted. You must be careful trading next year, and use stop losses. No. 7 or the seventh year is a bear number, and the seventh year is a bear year because 84 months or 84 degrees is 7/8 of 90. See 1897, 1907, 1917, but note 1927 was the end of a 60-year cycle, so there was not much decline. Also see 1937, 1947, 1957, 1967, 1977, 1987, 1997, and watch for 2007, 2017, and 2027. No. 8 or the eigth year is a bull year. Prices start advancing in the seventh year and reach the 90th month in the eighth year. This is very strong and a big advance usually takes place. Review 1898, 1908, 1918, 1928, 1938, 1948, 1958, 1968, 1978, 1988, 1998, and watch for 2008, 2018, 2028. No. 9 the highest digit and the ninth year, is the strongest of all for bull markets. Final bull campaigns culminate in this year after extreme advances and prices start to decline. Bear markets usually start in September or November at the end of the ninth year and a sharp decline takes place. See 1869, 1879, 1889, 1899, 1909, 1919, and 1929 – the year of the greatest advances, culminating in the fall of the year, followed by a sharp decline. Also see 1939, 1949, 1959, 1969, 1979, 1989, 1999, and watch for 2009, and 2019.
No. 10 the tenth year, is a bear year. A rally often runs until March and April; then a severe decline runs to November and December, when a new cycle begins and another rally starts. See 1910, 1920, 1930, 1940, 1950, 1960, 1970, 1980, 1990, 2000, and watch for 2010, 2020, and 2030. In referring to these numbers and years, we mean the calendar years. To understand this, study 1891 to 1900, 1901 to 1910, 1911 to 1920, 1921 to 1930, 1931 to 1940, 1941 to 1950, 1951 to 1960, 1961 to 1970, 1971 to 1980, 1981 to 1990, 1991 to 2000, 2001 to 2010, 2011 to 2020. The 10-year cycle continues to repeat over and over, but the greatest advances and declines occur at the end of the 20-year and 30-year cycles, and again at the end of the 50-year and 60-year cycles, which are stronger than the others. THIS ARTICLE UPDATED FROM W.D. GANN’S 1935 FORECASTING COURSE
1 2 3 4
= = = =
Bear Ends, Bull Begins Minor Bull or Bear Rally Bear Begins Ends Bear, Bull Foundation
5 = Strong Bull
6 7 8 9
= = = =
Bull till Fall, Fast Decline Bear Bull Strong Bull, Sharp Decline in Fall 10= Bear
EXTREME HIGHS AND LOWS, LAST 132 YEARS FROM 1892 - 2004
Month January February March April May June July August September October November December
Highs 20 5 8 9 8 3 6 6 14 6 14 33
Lows 34 11 10 7 5 9 6 3 5 15 10 17
Looking at the Dow Jones Industrial Average as a market benchmark, the best months to sell are December, January, September and November. The best months to buy are January, December, October and February. This sounds a little conflicting, but if the market is rallying into December/January, it’s a sell, whereas if it’s falling, it’s a buy. Of course, that also depends on other cycles and analysis. It’s difficult to give a cut-anddried forecast, because Gann analysis can be quite complex. For more information on the study of Gann, including articles of interest, I encourage you to visit my Web site atwww.schoolofgann.com. David Burton is managing director of Commodity Hedging Company and offers workshops and home study courses on Gann’s methods through his Web site, www.schoolofgann.com. You can review a fascinating webinar on this topic given by David on February 24, 2005, sponsored by Lind-Waldock and the Chicago Board of Trade. It has been archived at MyLind Events, where you can access it free of charge.
Futures trading involves substantial risk of loss and is not suitable for all investors. Past performance is not necessarily indicative of future trading results. Trading advice is based on information taken from trade and statistical services and other sources which Lind-Waldock believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder.
W.D. Gann's Master Time Factor WD Gann was a financial astrologer and his master time factor comes from astrology. He had a large circular chart, and the date in the middle of this circular chart was 12th October 1492 (when Columbus sighted the USA). He also had the USA Independence chart, 4th July 1776, the USA Stock Exchange chart of 17th May 1792, the first incorporation chart of the CBOT 13th March 1848 the second incorporation chart 18th February 1859. These natal charts were in the middle with all the Jupiter, Saturn, Uranus, Neptune and Pluto, conjunctions and opposite around the outer side from 1800’s to 1960. The Jupiter/Saturn cycle is just under 20 years and the opposition just under 10 years. Gann was using this Deci-annual cycle in the Stock Market back in the early 1900’s, now people have it in books, but Gann was the first to use this cycle (Jupiter opposition Saturn). People are doing a lot of Gann stuff out there and don’t realise they are doing it. Gann studied weather, wars, presidents, elections and traded and studied stocks and commodities as well as speculating on horse racing and the Cuban lottery. He did all this without a computer. Gann, without a doubt, was one of the smartest men to have ever lived. If we look just at the USA Stock Exchange chart at 8.52am on 17th May 1792 and run transit to the chart of the larger planets (Jupiter out), we have some major Saturn aspects this year transiting Saturn square natal Jupiter in May 2005, Saturn is on natal ascension in June as well as transiting Saturn square natal Saturn. Gann also was big into eclipses. The eclipse on the 8th April 2005 is exactly on the New York Stock Exchange moon. This does not look good for June/July as Mars conjuncts the eclipse and squares Saturn in the eclipse chart. The eclipse all in Aries means war. Looking at the 12th October 1492 chart transiting Saturn is opposite natal Uranus in May 2005 transiting Neptune square natal Venus in June 2005, and transiting Saturn square natal sun in July 2005. You need to look at all the other charts as well as the latest conjunction and opposite charts, and transits to them as well. Gann said to wait until the chart turns down and then go short, always using a stop loss, this proves that this cycle is working.
A Highly Complex System 11.01.2004 In the previous section on Gann, we mentioned that the Gann system is highly complex and requires a combination of no less than 12 factors to determine when there will be a change in major and minor trends in the commodity markets. One of the methods was the squaring of time and price of all major highs, lows and ranges. Because of the limited space in which to write this article, I can give you only a sample of squaring a high and how it shows a change in trend in the cotton market. If we take the high on the 2nd January, 1981 of 97.67 U.S.¢/lb and square this on the monthly basis, we end up with the following dates in which to look for a reversal:Date of High
Squaring the 97.67 High
Expected change in Trend Date
02.01.1981
1 square = 97.67 months
23.03.1989
02.01.1981
1 1/4 squares = 122.08
06.04.1991
02.01.1981
1 1/3 squares = 130.19
09.12.1991
02.01.1981
1 1/2 squares = 146.50
18.04.1993
02.01.1981
1 2/3 squares = 162.71
26.08.1994
02.01.1981
1 3/4 squares = 170.91
01.05.1995
02.01.1981
2 squares = 195.34
13.05.1997
02.01.1981
2 1/4 squares = 219.75
26.05.1999
02.01.1981
2 1/3 squares = 227.86
28.01.2000
06.04.1991 ...the 6th April, 1991 gave us a major top at 91 cents a month late before we collapsed down to 53 cents. -----------------------------------09.12.1991 ...the 9th December, 1991 was a continuation of the bear market when the market bottomed in March, 1992. -----------------------------------23.03.1989 ...the 23rd March, 1989 had little effect as we were half way through a bull market. -----------------------------------18.04.1993 ...the 18th April, 1993 gave us a top of around 65 cents before falling back to 57 cents. -----------------------------------26.08.1994 ...the 26th August, 1994 gave us a major low 10 days late at 68 cents before we roared to 130 year high on 25th April, 1995. -----------------------------------01.05.1995 ...the 1st May, 1995 gave us the all time high 6 days early before it collapsed from $1.17 to 73 cents. -----------------------------------13.05.1997 ...the 13th May, 1997 is currently holding around 76 - 79 cents and to date has had little effect. -----------------------------------26.05.199928.01.2000
Astoshing Calculations 11.01.2004 D. Wyckoff Editor of the Ticker Magazine writes... One of the most astonishing calculations made by Mr. Gann was during last summer (1909) when he predicted that September wheat would sell at $1.20.This meant that it must touch that figure before the end of the month of September. At twelve o'clock, Chicago time, on September 30th (the last trading day) futures were selling below $1.08, and it looked as though his prediction would not be fulfilled. Mr. Gann said, "If it does not touch $1.20 by the close of the market it will prove that there is something wrong with my whole method of calculation. I do not care what the price is now, it must go there". It is now history that September wheat surprised the whole country by selling at exactly $1.20 in the very last hour of trading, closing at that figure. During the month of October, 1909 in 25 market days, Mr Gann made in the presence of our market representative 286 transactions in various stocks on both the long and short sides of the market. 264 of these transactions resulted in profits, 22 in losses. The capital with which he operated was doubled 10 times so at the end of the month he had 1000% on his original margin. Mr Gann has refused to disclose his method at any price but to those who are scientifically inclined he has unquestionably added to the stock of Wall Street knowledge and pointed out infinite possibilities. One of Gann's Most Remarkable Forecasts was in the year of 1928 - In November W.D. Gann issued an annual forecast predicting the end of the great bull market in stocks for September 3, 1929, and the greatest panic in history to follow. We quote from this forecast,"September - one of the sharpest declines of the year is indicated. There will be loss of confidence by investors and the public will try to get out after it is too late. Storms will damage crops and the general business outlook will become cloudy. War news will upset the market and unfavourable developments will occur in foreign countries. A 'Black Friday' is indicated and a panicky decline in stocks with only small rallies. The short side will prove the most profitable. You should sell short and pyramid on the way down." End of R.D. Wyckoff's Comments Many newspapers commented on the accuracy of this forecast. History proves that the stock market topped on the 3rd September, 1929 at 386. Gann continued to trade and study until his death at 77 years of age in 1955 after accumulating an estimated $50 million. Gann's system is highly complex and a lot of his writings were veiled in secrecy. He used a combination of methods to determine future trends of the markets which included:1. 2. 3. 4.
Resistance levels made by market fluctuations Natural resistance levels in squares and the 360 degree circle Geometrical angles Time cycles and time periods
5. Squaring out price with time from tops and bottoms 6. Odd and even squares and the halfway points between both odd and even squares 7. Weekly high and low charts, angles that form on it 8. Monthly high and low charts, angles that form from tops and bottoms 9. Natural time cycles based on the 360 degree master chart 10. Time and price using the square of 9 and 12 charts 11. Seasonal tendencies 12. Market patterns.
Gann Analysis - Cotton Market People hedge commodities based on either technical or fundamental analysis. At Commodity Hedging Company, we only use the methods of W.D. Gann and have found that Gann angles and cycles are most important. We keep weekly, monthly, quarterly and yearly charts to find the short and long term positions of the commodity markets. To give you a brief example, we run the following Gann angles: 8x1, 6x1, 3x1, 2x1 and 1x1 from all tops, bottoms and the zero line. If we look at the continuous May Cotton monthly chart, it shows we are currently in a down trend because the market is below the 1x1 ceiling coming up from zero from the 1986 31.56cents/lb. Being under the 75 cents/lb by January 1999, the market would be in a weak position. The 1x2 angle coming down from the all time high of 117..2 cents/lb crosses at the 73 cents/lb in January 1999 below this is also going to be bearish. On a weekly basis, the 1x1 coming up from the low made in April of 1998 of 60.50 cents/lb crosses at 71 cents/lb in January, 1999 below that, another indication of a bear market. Coupled with angles, it is very important to run all Ganns time cycles. These are the 90year, 82 -84 year, 60 year, 50 year, 30 year, 20 year and 10 year with the minor cycles of 7 year, 5 year, 3 year, and 1 year cycles. If the cycles combine to hit a major Gann angle at the same time, then you are likely to get a major reversal from all highs and lows. Currently, the major cycles point down to April 1999 so it is very important to which angles the market breaks as it will usually travel to the next angle as support. Coupled with the normal seasonal lows in April 1999, most spinning mills should avoid long term purchases until then.