trading with gann calculator

[Pradeep Narayan]

Gann works on angles and time. Assume that one complete cycle represents 1 or 360 degrees. In our Market ONE CYCLE OF TRADING is 6 hrs and 15 min or 6.25 hrs. Hence 360 degrees is completed in 6.25 hrs. In other words 1 hr is 57.6 degrees. The ratio of 57.6 to 360 is 0.16 - which we use in Gann calculation. In Gann 45 degrees represents 0.25 increment or decrement (see Gann Square of 9 in www). This is because 45/180 = 0.25

Likewise, we use 0.16 on half scale (6.25/2 or 3.125) for arriving at the future prices + or -. For example:

Asian Paints previous close was 822.2.. square root of 822.2 is 28.674.
I take a range with steps of 0.125 for my intraday... so my range would be 0.125, 0.25, 0.375, 0.5 ... 3, 3.125. Multiplying the range with 0.16 will result in 0.02, 0.04, 0.06, 0.08, 0.1....0.5

Now Asian Paint's previous close was 822.2... sqr root of that was 28.674. Adding the 0.02, 0.04 etc. to that will result in 28.694, 28.714 etc. If you square these you will get a price range on the upside. Likewise for downside, you subtract 0.02 etc. from 28.674 and square the result.

The typical range for Asian Paints today was calculated at:
Step: 1.25, 1.5, 1.75, 2, 2.25, 2.5
Gann: 0.2, 0.24, 0.28, 0.32, 0.36, 0.4
Value: 28.874, 28.914, 28.954, 28.994, 29.034, 29.074
Price: 833.70, 836.02, 838.33, 840.65, 842.97, 845.29

The trade is placed according to other parameters using these numbers as references.

Hope this helps.

 

[prasanna316]

Gann works on angles and time. Assume that one complete cycle represents 1 or 360 degrees. In our Market ONE CYCLE OF TRADING is 6 hrs and 15 min or 6.25 hrs. Hence 360 degrees is completed in 6.25 hrs. In other words 1 hr is 57.6 degrees. The ratio of 57.6 to 360 is 0.16 - which we use in Gann calculation. In Gann 45 degrees represents 0.25 increment or decrement (see Gann Square of 9 in www). This is because 45/180 = 0.25

Likewise, we use 0.16 on half scale (6.25/2 or 3.125) for arriving at the future prices + or -. For example:

Asian Paints previous close was 822.2.. square root of 822.2 is 28.674.
I take a range with steps of 0.125 for my intraday... so my range would be 0.125, 0.25, 0.375, 0.5 ... 3, 3.125. Multiplying the range with 0.16 will result in 0.02, 0.04, 0.06, 0.08, 0.1....0.5

Now Asian Paint's previous close was 822.2... sqr root of that was 28.674. Adding the 0.02, 0.04 etc. to that will result in 28.694, 28.714 etc. If you square these you will get a price range on the upside. Likewise for downside, you subtract 0.02 etc. from 28.674 and square the result.

The typical range for Asian Paints today was calculated at:
Step: 1.25 1.5 1.75 2 2.25 2.5
Gann: 0.2 0.24 0.28 0.32 0.36 0.4
Value: 28.874 28.914 28.954 28.994 29.034 29.074
Price: 833.70 836.02 838.33 840.65 842.97 845.29

The trade is placed according to other parameters using these numbers as references.

Hope this helps.

According to gann calculator after 822.2, the price levels are 826.56,833.77,841,848.27. Hence after price crosses 826.56, 1st tgt should be 833.77 and 2nd tgt is 841.85, in my humble opinion. Would you please explain why your method is showing bit different result.
Thanks
Prasanna

 

[Pradeep Narayan]

I don't use the Gann Calculator.. I use the principles of Gann modified to suit Intraday in NSE. I have explained how I have used it in my earlier post. That is the reason there is a difference in price ranges.

 

[prasanna316]

Dear shareparthi

Thank you very much for your response. But I used LTP with gann calculator earlier.i lost many trades and small win I got.so again I trade with vwap price with gann it gives some average profit but not great.any method witch gives more profit than lose?i have been trading from july'14.
Some month results I have given below.its real trade only not paper trade.I am trading in icicidirect.all the results after brokerage deduction.
Ex:
Oct'14-Rs1200lose-180 trades with 2652 theory.(it gives profit but not great).
Nov'14 -Rs3000 profit-65 trades-gann with vwap
Dec'14-Rs22000 lose-78trades-gann with LTP.
So lose so for Rs.220000.and brokerage Rs.144000.so total lose Rs.366000.
So any profitable intraday method?.because I have to recover my lose.

Regards
Mmohanar

Dear Mmohanar,
There is something very wrong with your trading.Can you cite one example of loss. then I can guide you where did you do the mistake in reference to gann calculator.
Prasanna

 

[mmohanar]

Dear prasanna316,

On 10.02.2015 bpcl Ltp was 712.55 .so I put this value in gann calculator. It gives buy @715.55 and sell @ 708.89. But I put the buy order at 715.60.it triggered. After that it hit stop loss @ 708.90. I lost 3350rs. Again I bought Tata motor Ltp was 557.the gann value is buy @558.14 and sell @552.25. The price came to 553.so I placed sell order at 552.20.it excuted after that it goes to 551.60 again it hit stoploss of 558.15.again lost the trade.
So what is the correct method to use gann calculator?. So much of confusion. One of our member telling use it with 1/2h or1h timeframe. In this timeframe target not achieving.so what is correct method to use gann calculator in equity.

Regards,
Mmohanar

 

[prasanna316]

I don't use the Gann Calculator.. I use the principles of Gann modified to suit Intraday in NSE. I have explained how I have used it in my earlier post. That is the reason there is a difference in price ranges.

Many Thanks Pradeep. Your insight is definitely thought provoking and a learning experience.

Prasanna

 

[prasanna316]

Dear prasanna316,

On 10.02.2015 bpcl Ltp was 712.55 .so I put this value in gann calculator. It gives buy @715.55 and sell @ 708.89. But I put the buy order at 715.60.it triggered. After that it hit stop loss @ 708.90. I lost 3350rs. Again I bought Tata motor Ltp was 557.the gann value is buy @558.14 and sell @552.25. The price came to 553.so I placed sell order at 552.20.it excuted after that it goes to 551.60 again it hit stoploss of 558.15.again lost the trade.
So what is the correct method to use gann calculator?. So much of confusion. One of our member telling use it with 1/2h or1h timeframe. In this timeframe target not achieving.so what is correct method to use gann calculator in equity.

Regards,
Mmohanar

Dear Mmohanar,

You have not given any importance to Opening price of BPCL on 10th Feb 2015. On 9th Feb BPCL closed at 711.80. On 10th Feb, it opened at 705. Now you place this 705 at Gann. It shows you above 708.89 the price will go upto 115.56. Which is the 1st Tgt. But you bought at the resistance level. Now you see from the NSE provided chart, it is well understood that the stock was in down trend. Hence rather than purchasing you should have shorted it. When price came down from 115 to 708, if you had shorted, then price went all the way down to 689, which is again a Gann angle support price.

Again in Tata Motors, though the stock was in down trend,the price had surpassed the previous day high of 554.45. Hence clearly the the stock had reversed from the bottom. Hence, rather than putting a stop loss at 552, you should have added more shares. See. the stock closed at 564 after touching 568.

Hence I suggest, you use Camarilla calculator, rather than Gann, and don't buy in down trend, and don't sell in uptrend.
Another method is you wait for 1st 15 to 30 min. See the high and low of the scrip. Once it breaks either way, then trade according to Gann or Pivot.
if you are a trader then don't trade on result day.
These are some small tips.
It is told, if a trader survives 3 year in Stock market, then he emerges a winner. I have survived 3 years.
Prasanna

 

[ankquo]

@vinod,

Is there any specific time frame to trade using gann square 9 for crude oil?

 

[saurabhjain2005]

I am not sure how people are not achieving results here. Look for ATP at 9:30 and then as per levels Buy/Sell Nifty. For example if the ATP is 8000 and buy is 8012 and sell 7995 then do as per levels and wait for target. SL should be kept 7995 for Buy and 8012 for Sell. This is very simple and would give 200 points minimum in a month. It wont give huge losses for sure in any market condition.

 

[PUCHU_2500]

:thumb::thumb::thumb:

I am not sure how people are not achieving results here. Look for ATP at 9:30 and then as per levels Buy/Sell Nifty. For example if the ATP is 8000 and buy is 8012 and sell 7995 then do as per levels and wait for target. SL should be kept 7995 for Buy and 8012 for Sell. This is very simple and would give 200 points minimum in a month. It wont give huge losses for sure in any market condition.