Keep your eye on a stock or industry and watch for highs and lows for specific time periods, from days to months to years. The theory is that, when the angle is at or close to 90 degrees, the stock will experience a major shift. Know that the Square of Nine theory puts time and price into a graphic representation and measures the angle between them. Gann, the inventor of the Square of Nine principle, espoused this system about a century ago, and it's still going strong today, with software available to help you calculate the best time and price for your trades. Trade stocks according to cyclic principles, geometric patterns and square roots if you want to beat the system-if W.D. For instance, the most extreme market reactions that are typically seen, such as very high highs and low lows, appear to occur during weeks that are squares of odd numbers. The two variables at issue here are time and price. The Square of Nine trading method, also known as Gann's pyramid, is a way of using geometry to forecast the moods of the market.
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