Remember our Last Problem? Let’s say the LTP of a stock is 5152. Let’s generate a Gann Square of 9 based on this. But this time, instead of positional pivot points, we will do it intraday!
Time Frames
Our Initial Gann Square of 9 Calculator was targeting daily timeframe and hence 45 degrees.
The higher the time frame, the higher the stop loss, the higher the reward.
Similarly dealing with lower time frames minimizes the reward, but We deal with various smaller time frames even in candlestick charting like 1 hour, 30 mins for intraday to minimize our risk.
Because risk is the first parameter to check!
In Gann’s Theory, A movement in one day is the movement of 45 degrees!
So, Similarly, we can also divide the 45 degrees by 22.5 degrees, and 11.25 degrees. The daily timeframe is the most important time frame in the theory of Gann as well as in many other theories.
A day signifies the duration it takes for Earth to complete a full rotation on its axis. This measurement holds immense significance as the primary time unit for us, the inhabitants of Earth!
In this case, Like discussed above, We will recreate the entire Gann Square of 9 but with 22.5 degrees as a base. It will give support and resistance level in lower time frames, specifically, the time frame of 12 hours.
Deviations
Here are the deviations –
- The first 9 values will deviate from each other by 22.5 degrees.
- Now, to get the apex value i.e. the center value from LTP, We need to rotate the Gann Wheel by a minimum of 360 degrees!
It was 45 degrees and 720 degrees respectively in the calculations of Gann Square of 9 with 45 degrees as a base!
#1 Getting Apex
First, we shall apply the Square of Odds property.
We need to find the nearest odd number which is a Perfect Square.
- Square root of 5152 = 71.77743378
- Rotation of 360 degree = 71.77743378-2 = 69.77743378
- Round up = 70
- Square of 70 = 4900
#2 Fill the Squares
Now, Let’s generate the squares by rotating 22.5 degrees.
We know, if 2 represents a 360-degree rotation, .125 represents 22.5 degrees!
- So, Let’s add .125 to 70.
- Square the number.
- Instead of rounding down to no decimals. Let’s have it rounded to the last two digits.
Let’s keep rotating the numbers to get all the values of Gann Square of 9
#3 Beautify
The numbers which are not in the Cardinal or Ordinal Cross are not important.
Let’s leave them blank. Fill in the numbers of the Cardinal and Ordinal Cross from the previous calculation.
The Solution
Now, We have to put our number 5152 in the chart.
Find the Cardinal and Ordinal Cross between which the number fits.
From the Gann Wheel in the left side, we can see –
- 5148 is Support.
- 5166 is Resistance.
In the Gann Square of 9, With a base of 22.5 degrees as a base, 5148 is Support, and 5166 is resistance.
Comparing The Solutions
In the case of 45 degrees as a base, 5148 is Support, and 5184 is Resistance.
Hence,
the Range of entry/exit became small in intraday as Resistance is reduced giving us more opportunities and lesser risks (and, lesser rewards.)