GANN SQUARE OF 9

GANN SQUARE OF 9
History, Theory and how to use it today!
Topics

History

 Gann

 Square

of 9
 Golden
Use in Price

 Static

 Dynamic
Use in Time
Putting it Together
Rules
Further Information
MTA Member only
offer.
Presenter
Mathew
Verdouw



Designing Technical Analysis Solutions
for 16 years.
Input from a variety of experts.
Continually studying the works of Gann
and contemporaries.
Disclaimer
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professional advice.
History




He was a mathematician.
He believed in an interconnected world.
Gann went to India and
Egypt in early 1900s.
The Square of 9 is one of
his discoveries.
History


All through the Ancient World
are examples of Squares,
Triangles and Circles.
He even used
the three in his
company logo.
Semantics


Actually called “Spiral
Chart” by Gann.
Square of 9 was a
9x9 grid.
Semantics


This is what Gann
would have used for
“Square of Nine”.
We’ll still call it the
Square of 9.
Square of 9

Imagine a Pyramid.
Squares and Square Roots


Used as a calculator
Blue Squares
2,4,6,8,10,12

Red Squares
3,5,7,9,11,13

Simple to use
Angles



Angles are very
important.
Calculations are in
degrees.
Cardinal Cross
90, 180, 270, 360
In the Markets?



Static Number Series
How can it effect a
dynamic market?
Let’s look at some
examples.
Square of 9 Examples
I am using software (Market Analyst) but these
techniques can be done with a pencil and a
calculator.
FaceBook

Angles that Gann
would look for.
45, 90, 120, 180, 240, 270, 315

We apply a factor of
0.1
Time Factor Digression


Critical to all Gann
Gann will never work
if the price units are
wrong.
FaceBook
Rotation


Key is rotation.
Gann often spoke of
the importance of
cycles.
“The Circle of 360° is most important for time
cycles and price resistance”
W.D. Gann
USD EUR Cross
Characteristics



Angles are Important
Expansion as prices
move higher – like
Logarithmic
AAPL 180 and 360
Characteristics



Angles are Important
Expansion as prices
move higher – like
Logarithmic
AAPL 180 and 360
Formula


Counting Squares is
Slow – even for a
computer.
We have a handy
formula that we can
use.

𝛼 2
)
180
𝑌= ( 𝑋+
X is Starting Price
Y is the new Price
𝛼 is the angle in degrees
360 2
𝑌 = ( 9+
)
180
2
= 3+2
= 25
Dynamic Square of 9
Taking it to the next level!
Dynamic Square of 9


Having the formula
gives us the ability to
start at any price.
S&P500 from 666 low
From Tops


Starting at the March
2012 High.
Added 135˚
Dow Valued in Gold



Dow/Gold
Top in 1999
Sq9 works
Dow from 2007
Live Charts too


EUR/USD
11th Sep 2012
Cluster of Multiple


3 Square of 9
tools.
Areas of
Cluster are
very important.
Center the Starting Value
So far we have been finding our tops and
bottoms on a large square.
We can also “center” the top or bottom in the
middle of the Square of 9.
Euro Centered



Factor of 0.01
Start at 1.2755
On the Square:
1,275
Euro Centered
Center the Starting Value
Useful in Intra-day as it shows the price
expansions from an Intra-day turn.
Square of 9 in Time
Around the Circle.
Changing the Numbers.
Date Rings

Find the significant
date around the ring.
Date Rings


First 90˚ date.
Jan 8th
Date Rings
Date Rings
XOM - Dates
Center the Time
Just like we did with Price.
IBM



Top in IBM in April 3rd
Manual Calculations for
this.
Notice the Time Control
IBM in Days

Stand out is that the
April 23 Low is picked
by both Methods.
Date Square


Centered April 3rd
April 23rd is 270˚ in
the next revolution.
Goog Dates
Putting it all together
The Golden Rules!
Putting it all together
The Golden
Rules.



Never adopt a new technique without
testing.
Never neglect what has been working
for you in the past.
These do not work all the time.
Putting it all together
The Golden
Rules.

Build a case.
 Start
with major turns.
 Add in minors.
 Do you see confluence? Watch that price.

Always wait for confirmation of a
change in trend.
Further Information
There are two people who can teach more than I
on the Square of 9
•
Constance Brown, CMT www.AeroInvest.com
•
Alan Oliver, www.TradingWithGods.com
Market Analyst 7
Market Analyst 7







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GANN SQUARE OF 9
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