Wednesday, May 22, 2013

Forecasting time with gann's method

importance of forecasting time:

  • To detect where the trend will end  and 
  • Where a new trend will start:

120 years cycle: major cycle
It is very important cycle.
60 yrs cycle x2= 120
30 yrs x4= 120

100 yrs Major cycle:


90 yrs major cycle:

3 time 30 yrs cycle
1.5 times 60 year cycle

80 yrs cycle:

60 yrs cycle:
master cycle that repeats over and over again

49-50 yrs cycle:

7x7 = 49 yrs

40 yrs cycle;
.5 of 80 yrs cycle

30 yrs cycle
.5 of 60 yrs cycle

20 yrs cycle

15 yrs cycle

10 yrs cycle:

8 yrs cycle

7 yrs cycle:
7x7= 49 yrs

5 yrs cycle

2/3/1 yr cycle:
This cycle is most important as most counter trends react against the main
trend with one of these small cycles.

Harmonics of time cycle:

say it is 60 yr cycle, 60/10= 6 , go back every 6 year cycle.

1 year and under cycle:

The cycles inside of the year are the 45, 90, 120, 135, 144, 216,
240, 244, and 270. The 45 day cycle can be broken down even further into
22 1/2, 11 1/4 day cycles. The 120 day cycle can be broken down into
60, 30, 15 and 7 1/2 day cycles. The 144 day cycle can be broken down into
72, 36, 18, and 9 day cycles. It is important to
understand that all cycles must fit within each other. The smallest cycle of 11
1/4 is a part of even the 100 year cycle. 

USING DAILY CHARTS FOR FORECASTING:


watch for short term trend change 3.5, 7,11.25,14, 15,18,21,22.5,28,30,45,60,72,90 days for trend change.



Recurring cycle:

Market makes repeat cycle of past so go past and see
high,
Low
Top
Bottom

  • Daily chart will contain 28 months data in a window
  • weekly chart will contain 10 year data
  • monthly chart will contain 40 yrs data.
  • 5 min chart will contain 3.5 days  data
  • 15 min chart will contain 7 days data.
  • 1 hrs chart will contain 30 days data
  • 4hrs chart  will contain 4 month data

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