Gann often said that the weekly chart was more important than the daily chart. Rather than thinking in terms of degrees, it is simpler to express Gann angles in terms of units of time by price.įor practical purposes, weekly Gann angles, drawn on a weekly bar chart, appear to offer the most useful perspective. But that would not affect the interpretation of the Gann angles if we avoid thinking in terms of degrees. That would not prevent correct Gann angles from being drawn on oddly proportioned grids it would only prevent the translation of time by price angles into correctly-displayed degrees. Without this equality of time and price scaling, however, Gann angles stated in degrees do not work out correctly. On such a proportionally scaled chart, the 1 x 1 geometric angle, which for every one unit of time rises one point in price, is a 45 degree angle. For example, 1/16 of an inch might be set to one week of time on the horizontal x-axis, and 1/16 of an inch might be set to one dollar of price on the vertical y-axis. Translating time by price into degrees assumes a square grid, where one unit of time on the x-axis takes up the same amount of horizontal space as the one unit of price on the y-axis takes up vertical space. n degrees specifies the slope of the Gann angle, measured in degrees.
P is the number of units of price, graphically plotted on the vertical y-axis. T is the number of units of time, graphically plotted on the horizontal x-axis. He used just one pivot point to draw an angle that rose (or fell) at predetermined and fixed rates of speed, as follows: Gann drew his angles from all significant price pivot point highs and lows. Gann was fascinated by the relation of time (T) and price (P). Gann (1878-1955) developed the use of what he called "Geometric Angles", now commonly referred to as Gann Angles, used to determine trend direction and strength, support and resistance, as well as probabilities of price reversal.
0 kommentar(er)
