Time and Price Forecasting

Diamond,

Gann Squaring Price and Time is a great concept which generates various useful tools.

Let's talk (again) about Cycles

Let's assume that we have determined the Period of the Cycle .

The Period is the distance in Time from one Low to the next.

Let's say we have determined 1 Year, 12 months . Astro guys will be happy because it is related to the Sun

A Cycle has other parameters :

the Amplitude related to Price Action is the height of the cycle from bottom to top.
the Phase Shift related to the positions of other cycles
the Vertical Shift which is the result of the Underlying Trend

Gann has never really taken into account another "Law" : the Return to the Mean

only indirectly.

Price Action returns to its "mean" when Price and Time "square" on the 45° (1 Price Unit x 1 Time Unit) Angle

Price Action oscillates around this "most important Angle" its mean

If Price Action oscillates around another Angle, Jenkins discovered that you just have to consider this Angle as the new 45° (1x1) Angle and translate your previous chart accordingly.

This way you can apply your usual gannish reasonings, principles and angles properties.

But Life is Life and nothing is perfect . Price Action too.

Sometimes Price Action is higher than your 45° Angle , hence Price Action is in Advance relatively to the Time

Conversely Price Action can be lower than the 45° Angle , then Late relatively to the Time

The general idea is to create a kind of saving account (my words) both for Price and Time.

When you initiate a new chart (because Time flows ONLY forward) or a new "cycle" you have various options

if you are in advance you have a credit
if you are late, you have a debit

anyway at the end, there will be a time where you will return to your mean squaring both price and time after compensation of your savings

Then you can open a new saving account starting from zero

This mechanism explains why Cycle periods shorten or lengthen and why at certain Time Price action rushes up or falls down sharply.

It is because both Time and Price have to reach their targets in Price or in Time

Swede you can even use all 5 fingers of your hand !

Parisboy, well said... in total agreement... great point.
P

Michael S Jenkins Explains Gann's Time and Price Squared

Diamond thanks

i remember having read that at the end of his life - let's say between 1950 and 1955 - Gann has written that the Angle 45 ° (1x1) is de facto a Moving Average (1 Price Unit x 1 Time Unit)

I just to find where in his last writings

You two guys are a bit much...LOL By the way... I like Merlot from France...

Swede, actually, it's one dam good group. But, on occasion I gotta bitch slap someone upside the head.
P

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Michael S Jenkins W D Gann's Use of Astrology in the Stock Market

Sometimes you just feel like "Bringin' On The Heartbreak".

Hi everyone,
This is a great thread.
I'll add to the thread by way of this idea.
there are 3 elements to a trade, which can be expressed in a chart in different ways.
They are Price, Time and Volume. ( PTV)

my view is that a more complete analysis involves using charts where the bars/candles are based on time, price, or volume.
ie. For me, I use Time chart , range chart , tick chart

As an example see swedes chart in post 1282 , showingthe EUR
then look at my range chart with a simple channel and midline. ( I use the midline as an early confirmation that the channel structure is valid ).
If you can accept the validity of the "structure" of the mkt moves within this channel. ( Mkt respects even the outside blk parallel lines ), Then you have to
ponder the idea of "spacial time".. ( for want of a better term ).
I've found that time charts most show the mkt structure most of the time, but the times it doesn't, then range charts and sometimes tick charts will give a clear structure.

My chart shows a classic channel, and Like Parisboy , I'm also into "dynamic" channels , thou I use Bollinger bands rather than centered moving averages.

My view is that since there really is an underlying structure to the mkts.. then almost every tool can be made to work. Just a matter of finding the tools that suits me and making the tools "mine"... and squeezing the juice out of it, so that it works in giving useful, tradeable information . ( tools just give us the framework so we can "see" the structure. )

Diamondminer ( which makes me think of the movie ,Blood Diamond).. many thks for doing this thread.

You can create these charts on any platform !!!

" ... a 45 angle or a moving average that moves one point per day, week, month."

What does that means? can you show an exemple on gold if possible?

green pips

Rough!

This is how we all started. Looks like radar for a super busy airspace!

Can you tell me how do you do? do you have a pdf explanation how to draw? (i cant use mq4 indicator and cant see video)

green pips

I used the Tradestation platform to draw the Secret angles on the first chart
for the MT4 chart you can the use the script on tab 64.
To understand the strategy you must have read the Secret Angle Strategy Book which I believe you can find on this thread somewhere

rhk, Good valid points. Bradley Cowan brought ideas of PTV and should be totally recognized. The addition of Volume adds to the factors of an entry or no entry. I know Gartley, considered Volume very seriously. By the way, I mined diamond for years in that exact place(Kono) that the Blood Diamond movie was about. (but it was after the War)

Hope it helps