If you have a FOREX trading system then Gann’s trading methods are an ideal vehicle to seek big profits with low risk.
Gann’s Method
Gann’s method takes the emotion out of trading and like any successful FOREX trading system will liquidate losses quickly and try and hold the longer-term trends and milk them for profits.
Gann's method was tried and tested and many of his trades were publicly recorded and worked in ANY financial market.
1. He predicted improvements in the economy in 1921 and the huge Bull Run in stocks.
2. In 1928 he predicted the end of the Bull Market, a full year in advance of the 1929 crash.
Not only this but he then bought stock in the Dow at the all time low that occurred in 1932.
3. In 1935, a newspaper verified 98 of his trades, in cotton, grain, and rubber.
The result?
83 were profits.
Why Was Gann's Unique?
Gann was a technical trader but introduced a unique slant to his method by calculating the interaction between price and time and its influence.
Gann believed that crucial price trend changes happened when price and time converged.
If price and time were not in synch, then time would always by the main determining factor over price.
Time, was therefore the ultimate indicator for him as Gann once said:
“All of nature was governed by time".
In the "Wall Street Stock Selector" Gann gave an insight into repetitive price patterns that would always occur and said:
"Just remember one thing, whatever has happened in the past in the stock market and Wall Street will happen again. Advances in bull markets will come in the future, and panics will come in the future, just as they have in the past. This is the working out of a natural law"
Gann also had other unique concepts that he incorporated in his methods
He utilized such concepts as Gann angles as well as The Fibonacci Number Sequence which were revolutionary and are still used today.
Gann wrote extensively and produced vast volumes of work over his lifetime and all traders can learn from him.
Why Is Gann influential today?
Quite simply, as his methods are based on recurring price patterns they will never go out of date and savvy traders worldwide still use them to gain a trading edge.
FOREX markets are some of the best markets to trade and if you have a FOREX Trading system Gann’s methods could help you in your quest for profits and give you the trading edge you desire
