William Delbert Gann was apparently one of the most victorious stocks and commodity traders that we ever had. A trader who created the technical analysis tools named as Gann Angles, Square of 9, Hexagon, and Circle of 360. W.D. Gann’s market predicting methods were based on geometry, astronomy and astrology, and ancient mathematics.
He was born in Lufkin, in the city of Texas on June 6, 1878. Using his own style of technical analysis, W.D. Gann was reported to have taken more than 50 million dollars in profits out of the markets. W.D. Gann started trading at the beginning of 1900’s, and in 1908 shifted to New York City to open his personal brokerage firm, Gann & Company.
The foundation of his trading techniques was based on time and price analysis. This made it feasible for Mr. Gann to verify not only when a trend change was about to happen, but also what the best price would be to enter, or exit that market. So precise were Mr. Gann’s techniques that in the company of representatives of a chief financial publication, he completed 286 trades in a period of 25 market days. Of which, 264 trades were profitable. A trading record that Gann held has never been exceeded by any person since. In presence of a customs inspector, he turned $130 into $12,000 in less than 1 month.
Gann Time Cycle
Gann time Cycle is as helpful in today’s stock and commodities markets as they were in the past. W.D. Gann’s uses of the theory of Natural Law and geometric proportions based on the circle, square, and triangle gives quite an accurate idea changing market trend.
WD Gann’s Square of 9 uses angular and geometric relationships among numbers to forecast the stock movements and is an exceptional method used in the Technical analysis. This is a very accepted and admired technique among intraday traders owing to its precision in equities as well as commodities. The square of 9 is, in fact, a spiral or wheel of numbers. The center of the square contains the first value which is increased clockwise in spiral form. Every number in the square signifies an angle relative to the center.
History of Gann Square
In his trading career at some point, W.D.Gann took three year’s break to go to the U.K to learn and understand the history of selling prices of Wheat. During his thorough studies, he created some very influential and pioneering techniques, called the Square of 9.
Gann strictly protected his secrets whilst he was alive, but almost certainly the Square of 9 calculations was pivotal in his trading methods. The Square of 9 was not invented by Gann. He, in fact, found it inscribed in a temple in India and on the walls of the Great Pyramid in Egypt, but he was, without doubt, the first trader to identify its significance and importance in market trading.
