GANNacci Code ( review | Trading Reviews and Vendors - futures trading strategies, market news, trading charts and platforms

Trading Reviews and Vendors

Discuss and review vendors of commercial trading products, trading rooms and services, trading indicators or third-party paid add-ons


GANNacci Code ( review

  #10 (permalink)

Elite Member
Futures Experience: Intermediate
Platform: ts, nt
Favorite Futures: soybean futures, Viol„o
lameo's Avatar
Posts: 7 since Aug 2012
Thanks: 70 given, 20 received

Hi Fat Tails,

It is really a challenging question and I really doubt my answer will be full and satisfactory for you. I have a relatively deep knowledge of Gann's teaching (mainly from his original courses, not from other people - and for sure, I;m far far away from knowing and understanding everything from him) and I know they are not accepted by many individuals because of his mystical and esoteric valencies. I mean it will be almost impossible for me to give you a satisfactory answer, provided you are not familiar with the above mentioned basis which is complex and often confusing. I mention this because many people ignore the original writing for that reason.

The key to balancing P&T is the use of scale. One time unit for every one price unit - the use is relative and not clearly explained by Gann. Let's say if S&P500 is trading - at a given moment - at 1408.75 that means that if this price is 1409 TIME UNITS (hours, days, weeks, months) away from a previous MAJOR Hi or Lo, then a change in trend is due. Gann would say the price 1409 is touching a ZERO ANGLE from top or bottom X, Y, Z ...whatever. The larger the time unit, the larger the change. I've tried this with very little understanding in soybeans swing trade - indeed, the important change happened, but I expected a reversal while it spiked, wildly confirming the trend. It was disastrous for me ... I've seen this kind of set ups (balanced price space with time units) many times in beans.. But I think this should be used with other confirming tools and with very deep understanding of chart and volume patterns - upon individual discretion - and tested many times before entering a real trade. I wrote my previous post because I find the idea of balancing the major mkt parameters - P,T and V - very interesting since most of the time mkts are not balanced. Most indicators explore price alone, but when we try to understand the interrelation between the price action, the time elapsed from an important tops or bottoms + the volume action at this moment then it is natural to have a better understanding of market coordinates and the trend structure.

Yet, if this kind of set up signals a change in trend on a daily/weekly basis, and we see this confirmed by market, then the perspective for the intra-day trader in the direction of the trend would give him much more confidence.

Last edited by lameo; September 2nd, 2012 at 08:36 AM.
Reply With Quote
The following 8 users say Thank You to lameo for this post:
Page generated 2018-08-18 in 0.08 seconds with 11 queries on phoenix