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Gann Fan

Navigating Markets with Gann Fans: A Step-by-Step GuideWelcome to our comprehensive tutorial on placing and utilizing Gann Fans. In this step-by-step guide, we'll dive into the practical aspects of Gann Fans, a powerful tool for assessing non-horizontal support in resistance for technical analysis. We will thoroughly explain how Gann Fans are placed and what pitfalls to avoid when placing them. Whether you're new to Gann Fans or looking to enhance your trading strategy, this video provides actionable insights and a real-world example to help you harness the potential of Gann Fans with confidence. Join us as we demystify Gann Fans and empower you to navigate market swings with precision and skill.
Education
by LeafAlgo
4
What Is a Gann Fan Indicator?Alongside other titans of the industry, like Dow, Wyckoff, and Elliott, Gann is considered one of the most influential figures in trading. After he developed the Gann indicators, traders picked up his teachings worldwide. In this FXOpen article, we’ll dive into two of the most popular Gann indicators, Gann angles and Gann fans, and look at how they work, investigate their uses, and explore their limitations. Introduction to W.D. Gann William Delbert Gann, known as W.D. Gann, was a legendary trader and market technician born in 1878. He began his career on Wall Street in the early 1900s and quickly began developing a technique for predicting market movements. Gann's theory was rooted in his belief that the market followed specific geometric patterns and that time and price had a special relationship. Throughout his career, Gann developed various innovative tools for technical analysis, including Gann angles and Gann fans. These tools, known as Gann indicators, still have a valuable use in the markets today. Gann Angles Gann angles, as the name suggests, use a sloping line to help traders predict future price movements. These angles represent the rate of change between time and price. The primary 45-degree Gann angle is the 1x1 line, where the market moves one unit of price for every unit of time. Similarly, angles like the 2x1 line, where the price moves two units for every single time unit, will result in a line flatter than 45 degrees. A 1x2 line will see the price moving one unit for every two units of time. Other angles are 1x8, 1x4, 1x3, and 1x2, while the angles less than 45 degrees are 2x1, 3x1, 4x1, and 8x1. These Gann angles are primarily used to predict future support and resistance levels, plotted by the Gann fan indicator. When the price moves in the direction of the 1x1 angle, Gann believed that this indicates a strong trend with balanced supply and demand forces. Sustained moves above the 1x1 line show a bullish trend, while moves below are considered bearish. The Gann Fan Indicator Gann fans offer an easy way for traders to plot these angles. The fans consist of nine diagonal lines that use the price-time relationships described earlier, as seen in the diagram. This offers a broad perspective on where the price may end up and helps to forecast potential support and resistance levels. To construct a Gann fan, traders start by identifying a significant swing high or low point in the market. From this point, they draw a 45-degree, or 1x1 line, to represent the most critical angle. The Gann fan is then plotted along the angle, creating nine lines. As prices approach or move away from these lines, we can begin to predict market reversals and trend continuations. How to Use the Gann Fan Let’s take a look at how to use Gann indicators, specifically the Gann fan. Traders generally develop a Gann fan strategy using three primary methods: identifying support/resistance levels, timing entry and exit points, and gauging a trend's strength. Support/Resistance Levels Gann angles within the Gann fan often behave similarly to trendlines, revealing areas where the price may stall or reverse direction. These angles help traders identify crucial support and resistance levels, which may inform their decisions on future price movements. Looking at the example above, we can see that the 2x1 line offered significant resistance, even as the trend progressed bullishly. Meanwhile, the 3x1 line provided strong support, allowing us to anticipate that these two angles would hold whenever the price visited them. Timing Entry and Exit Points Consequently, Gann fans can help traders time their entry and exit points. As the price approaches a Gann angle, traders may anticipate that the market may reverse in this area. They could then look for confirmation with other technical analysis tools, like candlestick patterns or momentum indicators, before entering to catch the reversal or closing their existing position. As with each of the Gann charts shown in this article, these angles aren’t guaranteed to hold. This might help traders identify opportunities where prices will likely continue trending. The choppy area marked by the box in the diagram above could have shown us that the price wasn’t ready to reverse up, given that it closed below the 3x1 line several times. Gann theorised that once the price had broken through one angle, it would likely head to the next. As a result, we could have predicted that momentum was likely to continue to the 4x1 line and enter a position to catch the move. Alternatively, if traders had entered a trade on the reversal at the 2x1 line, denoted by the dashed line, they could take partial profits at both the 3x1 and 4x1 lines. Gauging a Trend’s Strength As mentioned earlier, the 45-degree 1x1 line can also show us the strength of a trend. In the chart above, we can see that significant bearishness entered the market on the left-hand side. This was confirmed by the fact that the price was sitting beneath the 1x1 line, indicating that the strong bearishness was likely to continue. Using this knowledge, traders could have predicted that the sharp move downward would carry on. As the price began to cross over the 1x1 line, the trend’s strength weakened. Traders could then start to anticipate that the price might begin to range or recover slightly, as it did in the chart. In this sense, traders don’t even necessarily need to use the Gann fan. By drawing a 45-degree angle from a key swing point, they can use the line as a Gann trend indicator and expect that price will follow the trend's direction as long as it remains above (if bullish) or below (if bearish) the 1x1 line. Limitations of Gann Indicators While Gann angles and fans may provide valuable insights into the market’s behaviour, there are some limitations that traders need to be aware of. The biggest issue is subjectivity. Different traders identify different swing points; some may prefer the last swing point, while others use the most extreme. This might lead to differing results and interpretations. There’s also the issue of subjective scaling. While a 45-degree angle seems simple enough to apply, the angle depends on the zoom and price-to-bar ratio of a trader’s chart. As a trader zooms in and out, the line will stay at the same angle, but its position on the chart will change. This can be mitigated by locking the price-to-bar ratio of the chart, but this a) makes zooming in and out of price action cumbersome and b) still doesn’t offer a “true” 45-degree angle that can be universally agreed upon. To see this for yourself, try using the Trend Angle tool under Trend Line Tools in TickTrader. Then, apply it to a swing point, and zoom in and out. You’ll notice that its position can vary wildly depending on your zoom level. Besides locking the price-to-bar ratio, traders can try to correlate the 1x1 line with an area in which the price reversed, then plot the Gann fan over it. This may help to bring some uniformity to the process. Your Next Step In summary, Gann indicators, particularly Gann angles and Gann fans, may help us predict future price movements with a high degree of accuracy. However, their subjective nature can make them tricky to apply consistently, and they are better suited to more experienced traders. Once you’ve mastered the Gann indicators, you can open an FXOpen account. We offer a wide range of markets, competitive spreads, and an ECN-based order routing system, so you can trade using Gann indicators and other advanced trading techniques. Good luck! This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Education
by FXOpen
1
Gann Fans: A Tool for Predicting Price MovementWhat Is A Gann Fan? Gann fans are a popular technical analysis tool used by traders to predict price changes by analyzing the geometric and cyclical nature of the market. The Gann fan tool consists of a series of lines called Gann angles, which are drawn at specific angles based on price-to-time moves. The tool is different from trendlines because it moves at a uniform rate of speed. While it helps gauge the strength and direction of the trend, it does not always predict the market's exact location. However, an appropriately set-up Gann fan can provide valuable insights into the market's future price movements. How To Set Up A Gann Fann To set up a Gann Fan, you first need to identify the main tops and bottoms on a price chart for your chosen time frame. Once you've found these points, select the Gann Fan tool and draw it from the identified earliest bottom to the most recent main top for an uptrend or top to bottom for a downtrend. To adjust the Gann Fan, you need to set the correct scale ratio. This can vary depending on the market you're trading in, but a common ratio is 1:1. This means that each unit on the vertical axis (price) is equal to each unit on the horizontal axis (time). Once you've set the scale ratio, you can adjust the Gann Fan by moving the starting point or the angle of the fan. The angle should be set so that it lines up with the trend line connecting the main tops and bottoms. For more educational content don't forget to give us a boost and a follow!
BITSTAMP:BTCUSDEducation
by LeafAlgo
Geometry: 1x8-8x1 EllipsesHey! Hope you are well! In this chart is shown the various 1x8-8x1 ellipses. The overlay on the four minute chart is shown here! Here is the beginning. There are successive boxes made on the chart. The boxes are the basis of the 1x1, 1x2, and all. This next picture is the initial 1x1 ellipse - or circle if you will. If that is overly populated, here is the same without the successive rings. The ellipse is not inside of the rectangle because the ellipse is circling the rectangle versus squaring the circle; however, do note that whether squaring the circle or circling the square, the eccentricity is the same; only the proportion - the size - of the ellipse changes. Next is the 1x2 and 2x1. Now, all of the successive angles will be shown simultaneously. Enjoy! Be well! As an added bonus, here is what the chart looks like when the successive rings are added. Suggested Reading: Law of Vibration - Tony Plummer Michael Jenkins - Geometry of Stock Market Profits, Chart Reading for Professional Traders, Complete Stock Market Forecasting Course Scott M. Carney - The Harmonic Trader, Harmonic Trading Volume I, Harmonic Trading Volume II, Harmonic Trading Volume III H.M. Gartley - Profits in the Stock Market Bill Williams - Trading Chaos, New Trading Dimensions, Trading Chaos 2nd Edition J.M. Hurst - The Profit Magic of Stock Transaction Timing, Cyclic Analysis: A Dynamic Approach Fabio Oreste - Quantum Trading Michael Jardine - New Frontiers in Fibonacci Trading The Wave Principle, Nature's Law Ralph Nelson Elliot Technical Analysis of the Financial Markets John J. Murphy A Complete Guide to Volume Price Analysis Anna Coulling Mastering The Elliot Wave Glenn Neely
Education
by UnknownUnicorn27791825
4
Market Structure: Speed and Slope on Multiple TimeframesHey! Hope you are well! In this selection, there is a showing of the use of angles to measure the passage of time and price. In the first chart, the 30 minute chart, there is 40 units of time, and 40 units of price. The angle that is correspondent with this ratio spans to the end of the enclosed trend. In the next chart, the four minute chart, there is 40 units of time and 40 units of price. The angle that corresponds to this ratio spans only to the end of the first trend. However, the 8x1 angle stretches to the end of the full segment. By these examples, the concept of speed is meant to be shown. In each corresponding timeframe, there is a speed. For the daily chart, the speed is one day. On the five minute chart, the speed is five minutes, so in making forecasts, predictions, trendlines, and others, consider the speed. Suggested Reading: Law of Vibration - Tony Plummer Michael Jenkins - Geometry of Stock Market Profits, Chart Reading for Professional Traders, Complete Stock Market Forecasting Course Scott M. Carney - The Harmonic Trader, Harmonic Trading Volume I, Harmonic Trading Volume II, Harmonic Trading Volume III H.M. Gartley - Profits in the Stock Market Bill Williams - Trading Chaos, New Trading Dimensions, Trading Chaos 2nd Edition J.M. Hurst - The Profit Magic of Stock Transaction Timing, Cyclic Analysis: A Dynamic Approach Fabio Oreste - Quantum Trading Michael Jardine - New Frontiers in Fibonacci Trading The Wave Principle, Nature's Law Ralph Nelson Elliot Technical Analysis of the Financial Markets John J. Murphy A Complete Guide to Volume Price Analysis Anna Coulling Mastering The Elliot Wave Glenn Neely
Education
by UnknownUnicorn27791825
Happy Holidays and Merry Christmas!The year 2020 was a year full of problems which we tried to face in the best possible way. I wish you from the bottom of my heart a happy new year 2021 and may this year be a full year of miracles for you and your families. A good year for trading. Happy New Year 2021 from ME !!! ALBANIA: Vitit 2020 ishte nje vit plot probleme te cilat ne munduam ti perballonim ne menyren me te mire te mundshme ju uroj thelle nga zemra gezuar vitin e ri 2021 dhe qofte ky vit nje vit plote mrekulli per ju dhe familjet tuaj. Nje vit i mbare per tregtim. Gezuar Vitin e Ri 2021 nga MUA !!! ITALIAN: Il 2020 è stato un anno pieno di problemi che abbiamo cercato di affrontare nel miglior modo possibile. Ti auguro dal profondo del cuore un felice anno nuovo 2021 e che quest'anno sia un anno pieno di miracoli per te e le tue famiglie. Un buon anno per il trading. Felice Anno Nuovo 2021 DUTCH: Het jaar 2020 was een jaar vol problemen die we op de best mogelijke manier probeerden het hoofd te bieden.Ik wens je uit de grond van mijn hart een gelukkig nieuwjaar 2021 en moge dit jaar een vol jaar van wonderen zijn voor jou en je gezinnen. Een goed handelsjaar. Gelukkig nieuwjaar 2021
Education
by UnknownUnicorn11720831
Learn the "Gann Fan" in just 3 StepsGann theory has been widely used in various fields of finance. To learn to apply the Gann angle line, two problems need to be solved, namely, point selection and volatility. The question about volatility is in the Gann angle line. This article will mainly talk about the problem of selecting points. The selection point of the Gann angle line is generally selected from the important top and bottom. When selecting, you can judge which point to choose based on your actual operating experience. But depending on the long-term trend, you can choose the Gann angle line starting from zero, which will play a very important role in future predictions. We took NASDAQ as an example. In the chart, We have learned how to apply the Gann fan to a chart or the trend. It's complicated, but I tried to make it easy to understand and easy to apply. I have used only 2 to 3 things to perfectly apply the Gann Fan. Gann fan is useful to all the traders, It can be applied to all the time frame. In the investment process, Many investors like to buy bottoms. This is everyone's ultimate pursuit. That's because every market has important tops and bottoms. Analysis of this position is to make your own funds safer, with minimal risks and greater profits. These will use the Gann angle line confluence position. The force formed at the intersection of the rising angle line and the falling angle line can often form a reversal trend. In " Financial Analysis Trends ", the grades are divided as follows: 1×1 intersects with 1×1 1×2 intersects with 2×1 1×3 intersects with 3×1 1×4 and 4×1 intersect 1×1 intersects with 1×2 or 2×1 1×1 intersects with 1×3 or 3×1 1×1 intersects with 1×4 or 4×1 1×2 intersects with 1×4 or 4×1 Above is the information about the Gann fan for education purposes only.
Editors' picks
CME_MINI:NQ1!Education
by forextidings
11
Gann Fan - How toWhat is called Gann Fan is actually set of angles that are part of the square. In the video I've marked price swings using time balance concept and number 144 After marking swings I've put Gann Fan and set it to hit top and bottoms of the swings. Next step I duplicated Gann Fan with the same settings to show that all price swings follow some angle and angle intersections create change in the trend. Last step was to show importance of 3/4 angle.
Education
by ToKnowToWillToDareToBeSilent
4
Educational ... Gann FanGann fan .. one of frequently used tools trading almost every single equity in the market . it can give you a clue on CIT (change in trend) which is a marvelous way to have the trend from it's beginning . and as you can see it also acts as supports and resistance ... off course in conjunction with other methods .. but sometimes i can only rely on this tool. not to mention that it can act as a classical trend even before it's beginning .. if you think you like this pieces of information .. tell me in the comments and i'll try posting them more .. don't forget to press the like button.. your support is appreciated TIA
COINBASE:BTCUSDEducation
by DR-SherifAborehab
10
Why and when trends failHere, using gold I demonstrated the importance of time analysis. Most of traders analyze only price action in relation to price and most of indicators can do only that. However price need to be analyzed also in relation to time, as price moves in Fibonacci sequences not only in price scale but also in time as you see. And when it hits an important Fibonacci TIME extension, a trend will change direction for hours, months or years depending on timeframe. With these tools you can analyze time action: Fibonacci time extensions Fibonacci time zones Fibonacci arcs Fibonacci circles Fibonacci fans Pitchfork fan Gann fan, Gann angles (to place Gann fan you have to LOCK scale. Then put 45 degree angles. Angle 1-1 has to run by 45 degrees). Gann boxes Cyclical oscillators, CG Oscillators (Center of Gravity as Fisher, Ehler's CG) How to draw Fibonacci Time extensions - traditonally, time cycles are measures from LOWEST LOW to LOWEST LOW. You find 2 lowest lows and drag Fibonacci time extension tool between them and then drag back the third line to the first low where you started. Then you have Fib time extensions from the second lowest low that you connected, into the future. Its important, it has to be absolute lowest low. If you do it on weekly, zoom to daily and place the end on absolute daily low. Fibonacci Time zones. You place 1 on lowest low wig, 2 has to fall on the next candle. Best to do it on daily. 1 candle -1 time zone unit.
FX_IDC:XAUUSDEducation
by ICFX
1
BTC - Gann Fan Strategy - Remedium for anxietyHi Guys. As market is still unstable we would like to share with you interesting and promising strategy which can help you to get calmer. It presents in a elegant way current trend and tells us when to buy and sell or when we have to just wait for the final verdict. This indicator is notable unique because it draws diagonal support and resistance levels at different angles. At first sight you might recognize the indicator because it’s a colorful indicator much like the Fibonacci Channel indicator. One of the main reasons why Gann fan angles are superior to the horizontal support and resistance levels is that financial markets are geometric in their movements. This means that if you can spot a pattern or or any other geometric shape in a chart, then there is a high probability you can spot them at the Gann fan angles. Gann fan trading strategy can be applied to all markets because according to the Gann theory, financial markets move as a result of human behavior which makes them cyclical in nature. We have special Gann fan angles and more specifically Gann came up with 9 different angles. The most important angle is the 45-degree angle or the 1/1 line. For every Gann angle, there is a line that is derived from that angle. We can distinguish 4 different Gann angles above the 45-degree angle and 4 other Gann angles below, as follows: 1/8 1/4 1/3 1/2 1/1 – 45 degree 2/1 3/1 4/1 8/1 According to Gann theory, there are special angles that you can draw on a chart that will give you a good indicator of what price is going to do in the future. All of Gann’s techniques require equal time and price intervals, in other words, a rise of a 1/1 would imply a 45-degree angle. It may sound a bit ambiguous but it is easier that it sounds. In the comment section we will provide you step-by-step explanation how to proceed your Gann Fan Stratefy of any asset you want. We will base on latest BTC 3.22% chart. So let's go!
BITFINEX:BTCUSDEducation
by WBM_Team
1
For educational purpose only. Final result.I am publishing the end result of my EW wave count Gann angle time fib combination to show how it developed differently over time then when I projected it. I discovered this combination of EW, W.D. Gann angles, time and normal fibs 2 years ago through observing price-action many many hours per day. I still feel awe when it all fits and I call it grace as it shows how perfectly mathematical this behaves. My only problem is that I can not understand or see yet how to properly project price. I now use it as a confirmation of trend reversal but I would like to gain more insight in how to use it correctly in real-time then in hindsight as its 20/20 then. Any comment, suggestions and additions are really appreciated. Om Sri Satoshi Ji Namah
BEducation
by FlippingABitCoin
2
Fib Speed Resistance Fan StudyThis is a study of how I like to use the Fibonacci Speed Resistance Fan to help predict future price movement*. While it's not difficult to notice the strong connection between the fan and price movement, turning that into something tradable can be much more of a challenge. Although there are undoubtably many opportunities, this study focuses on two potentially tradable ideas: 1) Riding the new breakout and confirming when it's no longer valid 2) Anticipating a new breakout (*Study only. I did not trade this chart)
Education
by Fr33zerPop
1
Bitcoin Price Analysis - Bubbles of the Past and FutureSince I got so amazed by the Gann fan and the Fibonacci time zone I tried to apply both to the historic Bitcoin chart and they align perfectly. It may look like I drew the purple line of the Gann fan manually below the low of summer of 2013 and the blueish line by myself above the last two peaks, but no - actually the Gann fan is showing up there automatically based on the price data from the 2011 bubble. You can see how the Bitcoin price growth has slowed down over the years as we moved from from the very explosive growing green channel in the beginning in 2010 quickly lower to the blue channel in 2011 and then over to the purple channel in 2012. Now the price growth is slowing down again for the fifth time as we are moving into the red channel. And watch the Fibonacci Time Zones, they seem to show up right between bubble cycles in the "stealth" phase before the "take-off". Something special is going to happen in early February 2015 which is going to fuel the next bubble (maybe the first ETF), since both this chart using 2011 data and my other chart where I used a Fibonacci Time Zone based on 2012,2013 data show a Time Zone line around February 8th, 2015. P.S. Also check out my last charts with Fibonacci Time Zones: and
BITSTAMP:BTCUSDEducation
by ChartArt
10