Personal Finance

random · Guest

Ok, here's one of the Gann techniques of working with ranges & resistance:

The S&P500 makes a range up from 1074 to 1255
This range is 181 points.

We take 25% of 181 plus 1074 gives us 1119.25
12.5% = 1096.6
25% = 1119.25
33% = 1133.75
50% = 1164.5
66%= 1193.5
75% = 1209.75
100% = 1255

Does it really work???
Just as good as using 1/10 th's, or every 10, 15, 20 etc pts

random · Guest

The real problem with this stuff is that Gann (and those vendors of his
methods) do these calculations with a myriad of ranges, coming up with so
many resistance levels that they are always right (within a few points).

There is so much movement in the market that sooner or later one of these
numbers is hit, which in there eyes (and their advertising) makes their
methods correct.
Problem is they are not much use for real profitable trading (most of them
lose money in the market).

The only usefullness in this is that it enables us to predict what the
"suckers" (as Livermore called them) what they are going to do and where
they put their stops.

ProfitMaxTrading.com · Guest

The logical approach to the subject of Gann methods is whether Gann himself
had proved to have used them to advantage. The historical records and
extreme fame make it factual that he had. Therefore, there is no question as
to the value and validity of his methods.

On the other hand, you will find many that do not understand much of Gann's
methods or how to properly use them. From this group you have some who will
peddle what they call Gann methods and you'll have others that, due to their
own inability to make it work will claim it is all a shame.

This is no different than those who dogmatically insisted that the world was
flat and everyone saying otherwise was a "sucker". Other "suckers" included
Edison and the Wright brothers.

One of the big reasons (other than simply being full of oneself) that some
will claim that something does not work when in fact many are making it work
is due to missing all the pieces. You can liken this to someone who have a
600 horsepower engine sitting on the garage floor without chassis, fuel or
wire and claiming that the engine is useless because it will not go from
point A to B.

Anyone, and I mean ANYONE that has truly studied Gann KNOWS without any
doubt what Gann considered the most important...TIME. So when someone is
complaining about Gann because of having several price levels to work with
and does not even consider all the other components required to make these
levels work, such as TIME for one, then obviously the person lacks even the
fundamental concepts taught by Gann.

No, the problem is not Gann or his methods. The problems lies with each one
of us. How much are we will to invest in time and resources to understand
his concepts fully? How long are we willing to keep an open mind, or do we
tend to close it at the first obstacle we run into?

Oh, I once didn't give Gann much thought. Oh if I could only take back those
years I passed on the subject. For several years now I've demonstrated, both
publicly and privately, that the market tops and bottoms can be forecasted
in advance. Anyone can visit http://www.profitmaxtrading.com/examples.htm to
see several examples of this. The ability to do this is based on just a
fraction of what understanding Gann offers. Naturally if others feel
compelled to discount Gann and his methods for whatever reason, it won't
affect what I have already harvested in knowledge and value. And it won't
affect what I'm able to provide my client/members.

So believe what you like. My sharing these facts with you is my attempt to
help those with open minds and hearts not bent on putting down others.

--
Cheers!

Rick J. Ratchford
ProfitMax Trading Inc.
http://www.profitmaxtrading.com

"The KEY to Precision Timing!"

UMT · Guest

"For several years now I've demonstrated, both
publicly and privately, that the market tops and bottoms can be
forecasted in advance"

More like 'after the fact.' Don't you believe it, my friends.

random · Guest

Gann uses the same method for time, 100% being 1 year or 360 degrees.
Divides it into 8's and 3rd's for trend changes.

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