The square of nine. Anybody that's ever looked into Gann has heard the story of how he carried a piece of paper into the trading pits and that it was a (what we now call) square of 9. Apparently he considered it to be a very important tool. To put a square of 9 overlay on our price chart we need two points.
Square of 9 from WD Gann is an unconventional method in Technical analysis which uses angular and geometric relationships among numbers to predict the stock moves. This is a very popular method among intraday traders owing to its accuracy in equities as well as commodities. The square of 9 is actually a spiral or wheel of numbers. The center of the square contains the initial value which is increased clockwise in spiral form.
Each number in the square represents an angle relative to the center. In this post, we would understand in detail how to use Gann square of 9 Calculator for intraday trading.
There is an excel sheet attached with the post which would help you to calculate support and resistance levels based on Gann theory.Fine some of our very popular Excel based trading systems in the below link:History of Gann SquareAt one point in his trading career, W.D.Gann took three year’s leave to go to the U.K to study the past history of selling prices of Wheat. During his meticulous studies, he developed some very powerful and innovative techniques, none more so than his use of the tool we call the Square of 9. Gann closely guarded 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 created by Gann. He actually found it inscribed in a temple in India and on the walls of the Great pyramid in Egypt, but he was certainly the first trader to recognize its importance and relevance in market trading.Gann held a trading record which has been unsurpassed by anyone since. In front of a customs inspector he turned $130 into $12,000 in less than 1 month.
Again, in the presence of an independent witness, he made 286 trades, 264 winners and 22 were losses. Intraday Trading using Gann square of 9 CalculatorGann square of 9 calculator is used to generate support and resistance levels for intraday trading. Breakouts of thee levels would be used to enter trade. The support/resistance levels are generated using the values in Gann square. In order to generate these levels, we need to input the latest trade price or weighed average price in Gann calculator (attached with the post). LTP should be taken after at least half an hour of trade for better results, as there is lot of volatility in market during the first 30 minutes.
Once you input this price the Gann levels would be automatically generated. See below:Also, the buy/sell price and respective targets would be generated in the Excel sheet. In this particular example, we need to enter buy if the price crosses above 8418.06 and enter short if price crosses below 8395.14. Lastly there are support resistance levels based on which targets are calculated above:How Gann values are calculated?Every value in the Gann square is related to the center value.
Below are the steps used to calculate these values:. Calculate the square root of LTP.
Let’s suppose LTP=8400, then SQRT(8400)=91.65. Take two integers below and above the square root calculated. In this case they would be 90,91,92 and 93. Square the lowest values out of the 4 calculated above. Put this value at the center of Gann square. Now, increase 90 by 45 degrees. In numeric terms 45 degrees is equal to 0.125 (360 degree=1).
So our required value is 90.125. Calculate square of 90.125, and place it in adjacent block left of center block. SQR(90.125)=8122.52. Increase the value further by 45 degrees. Find out square of this value and place it at the top of where you placed 8122.52. SQR(90.25)=8145.06. Continue this process by increasing the value by 0.125 for each iteration.
Once you complete one level of square, start with the next level with values 91.125,91.25.Resistance values are the next higher values in the Gann square above the Buy Price. While support values are the next lower values in the Gann square below Sell price. Targets are calculated based on support and resistance. Download link for Gann square of 9 calculatorPlease see the below link to download Gann square of 9 calculator Excel Sheet.
You simply need to input the current market price and the excel sheet would do rest of calculation itself. Please let us know if you have any queries. Also, send us your feedback on how to improve this sheet.
Dear Friends,Its long while since I posted here. In last couple of months I have explored various ways to improve trading and trading psychology, there is lot to learn and lot to share with you all, but I’ll discuss about that some other time. Today I need to share with you some simple ways to improve your trading. A better way to trade Gann Square of Nine.Gann square of Nine has attracted lot of attention, not only because of it was developed by legendary trader W.D. Gann but also because of its simplicity to use and understand and also apply.
You all very well know that I have publicly shared Gann Calculator and more than 4000 people have already downloaded the calculator.With my understanding and exploration, I have figured out few simple rules to be followed which I would like to share with you. This rules will not only help traders to improve their trading performance but will certainly enhance your confidence in trading.Most of my readers are trading in Nifty, hence I have developed another calculator with some added features, but original calculation will remain the same i.e. Pivot levels or entry, target and stop loss levels will remain the same. And there is another calculator which can be used for trading in stocks (except currency). To explain the things in better way I have prepared small note which will be useful to understand and apply Gann levels. So if you want to know more about it you can and help me and help yourself.
Nifty as on 11 Sept’13– 5913.15 (+216.35) Bank Nifty as on 11 Sept’13– 10369.10 (+180.85)Nifty is struggling to sustain above 5900 levels, but still it has not put down hands, making efforts to stretch further. Possibly, support from Bank Nifty and CNX IT Index can come to rescue, and even later performers metal and cement sector stocks are performing at this time.Nifty Trading StrategyBroadly, Nifty remained range bound in last session, neither bulls get something to cheer not bear players. Nifty moving and closing above 5900 levels, increases the possibility of further extension in prices, but there is equal probability so can’t bet conclusively. At this juncture we would like to take help of r and prefer to go for Pivot Trading.Keep visiting Way2Profits, for unbiased view on the market. After developing, few of my readers who were trading in currency markets as well, has send me request to develop the calculator for currency trading as well. Initially, i thought the same calculator can be used for currency trading, but when i saw the result, i get to know that, no it is not possible to trade with same calculator, so i developed Gann Square of Nine Calculator for currency trading as well, which is available absolutely free to my readers.
Since, I am not currency buff, so I had not used much. But, I can tell you broadly output and methodology will be the same. Gann Square of 9, Gann Square of nineGann square of nine is good tool for intraday trading and consistently used by many traders across the world. The methodology is extremely simple is understood properly.
Trader has to note that intraday trading has its nuances, and one has to understand that in better perspective. I would say that it is nothing less than a business and to venture into a business one should know all the nitty-gritty of the business. Here, I had developed a excel calculator based on Gann square of nine method and you just need to enter the price into it and you’ll get output in form of Buy and Sell signal. Let’s clarify one thing that Gann squre of nine is something similar to Pivot method of trading, wherein one does not take into consideration other aspect of the market, it only focuses on the existing price of the market, no matter in which instrument you trade. Coming on to Gann square of Nine is method recommended by legendary W.D. Gann and it is one of the simplest methods to apply, among others.With my understanding I tried to clarify things developed calculator, which you may use upon downloading.
From last four years thousands of traders has downloaded the calculator file and they are using very satisfactorily. To download the calculator you need to pay just Rs. 250/- in below mentioned account and subsequently inform us on this email id – [email protected], once I receive the payment confirmation and your email I will send you the excel file and with that you’ll also receive one small note for the calculator wherein I tried to explain what you should not do while using the Gann calculator. I am sure after reading this PDF you’ll be benefited.
(To know payment details please click below). FAQ’S (Frequently Asked Questions). Gann square of Nine calculator useful in Intraday trading?Ans:- Yes, absolutely. The whole of idea of Gann square of Nine calculator is to use for intraday trading also. Gann square of Nine calculator useful in positional/delivery trading?Ans:- Yes, experience trader with fare understanding of the market can use Gann square of Nine for position trading as well, but before that one has to understand and take grip on it.
Can we make significant profit by using this calculator?Ans:- Straight answer is NO. Profit/Loss from any trading strategy totally depends upon individual trader.
It is very much possible that with given same strategy one trader can earn handsome profit and another may end up in loss. Key here is to understand things in better perspective and apply accordingly. Is this holy grail of stock market trading?Ans:- Kindly understand there is No Black Box system in the world which can be called as Holy Grail of stock market trading, so keep your expectations real. What is success rate of calculator?Ans:- Since Gann square of Nine trading is not totally automatic trading or algo based trading it is difficult to measure the success rate based on this method. But it is highly recommended that before applying this method one should try to do paper trade ahead of taking actual trade.
Why to pay for calculator?Ans:- I have taken lot of efforts to build this calculator and tried to make things simpler. Also with this I tried to explain few things very clearly which will help you to minimize your loss and maximize the profits. And whether you agree or not there is no free lunch, whether you pay directly from your pocket whether you pay indirectly. And friend, here you pay just meager Rs. 250/- only.
Is there any update available in future?Ans:- No. Its static excel file and there is no requirement for future update. So don’t expect any update in future as well. Refund policy.Ans:- Kindly note that, in any case whatsoever maybe, money once receive will not be refunded back, so request you to kindly make sure before making a payment.Lastly, we don’t take any credit, this methodology is developed by legendary trader W.D. Gann and if you want to learn more about his unique methods than please refer his classic books.