Gann Part 05

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GANN PART-05

I started describing Gann’s trading methods with this topic because its a link between maths and astrology.
Today, we’ll get closer to the stars and study Gann’s works, devoted to astrology.

Works by Michael Faraday (1791 – 1867), a British scientist and philosopher had the strongest influence on
Gann’s theory concerning how the stars affect market behaviour.

Faraday discovered fundamental direct correlation between the Earth magnetism and sunlight that reaches its
atmosphere. The stronger is solar activity, the stronger is the Earth’s magnetic field, and vice versa.

As the sun is the main source of life and power on the Earth, it directly affects all the living, including humans;
that is their physical and psychological state.

Given the fact that the market in its any aspect is the quintessence of human feelings, the application of the
astrology laws no longer seems such a delusional proposition even to the strongest skeptics.

William Delbert Gann was one of the first to seriously study the influence of stars on the markets.

First, let’s study the fundamentals of astrology, according to Gann method.

Fundamentals of astrology according to Gann method

The basic fundamental for Gann method is Zodiac circle.

To explain clearer, I’ll use Gannzilla Pro v.8.2 application that you already know.

To see the Zodiac circle, you need to activate Cosmogram. It should apply Geocentric system, that is the Earth
is in the center, at Angle of 180 degrees and move Clockwise. It is also important to select in the Location
section the City, the time zone of which is used for the forecast (see the screenshot above).

Finally, if you’ve done everything correctly, you should see the following picture.
Aires 0°-29°
Taurus 30°-59°
Gemini 60°-89°
Cancer 90°-119°
Leo 120°-149°
Virgo 150°-179°
Libra 180°-209°
Scorpio 210°-239°
Sagittarius 240°-269°
Capricorn 270°-299°
Aquarius 300°-329°
Pieces 330°-359°
In addition to Pluto, long after, as astronomers discovered such objects as Ceres and Eris; which, Gann,
unfortunately, couldn’t learn about.

In this article, to maintain the experimental integrity, I won’t take into consideration the influence of these
three objects, as there are no reliable materials that would describe the methodology, including all the twelve
celestial bodies.

Later, as an experiment, I suggest using the complete Cosmogram with all the twelve celestial bodies and
compare it with the classical framework, applied by Gann. I think it is going to be interesting and, may be,
unique experiment.

Each of the twelve celestial objects has its symbol (see the figure above).

To move on, you need to understand that Cosmogram is a two-dimensional map of the celestial dome. So, it is
very important to correctly identify the time and the place for the analysis, because at different times and
different places the heaven is different. Historically, I draw my charts fro analysis according to the time zone of
UTC + 3, which corresponds to Moscow local time.
Therefore, understanding that each celestial body is constantly moving inside in the astrological cycle, they
rather frequently change their locations and take a particular angle at the Zodiac circle.

This location is called ephemeris. In the Cosmogram coordinate system, the ephemeris of each planet includes
three different types of data, they are the number of degrees along the whole circle, the number of degrees at
the Zodiac sign and the name of the sign (see the table above, showing the data as of 15.03.2018).

For contraction, all celestial bodies are called planets, whether it is a planet, a satellite or an asteroid.

As the above-listed bodies influence one another, in Gann astrological model includes five planetary
combinations:

Conjunction - two planets are at the same longitude

Sextile – two planets are at a distance of 60 degrees from each other

Square – two planets are at a distance of 90 degrees from one another

Trine - two planets are at a distance of 120 degrees from one another

Opposition – two planets are opposite at a distance of 180 degrees

Astrologers also apply:

Semisextile, two planets are at a distance of 30 degrees

Semisquare, two planets are at a distance of 45 degrees

Sesquisquare, two planets are at a distance of 130 degrees

Quincunx, two planets are at a distance of 150 degrees

Each of these aspects has its symbol; however, to maintain experimental integrity, I’ll describe all the nine
combinations later. Now, I’m going to follow the classical model that consists of the first five aspects.
If I remove all the unnecessary combinations from the filter, then, on 15.03.2018, you’ll see in the above
Cosmogram two connecting lines with symbols, which show that Sun to Jupiter, and Mars to Uranus are
coming Trine on this date.

Also, in astrology, including the works of Gann, such concepts as Lunar and Solar eclipses are used. I think
these phenomena are known to all, and so, I will not dwell on them in detail.

Also, the concept of Retrograde motion is mentioned as an object of analysis - it is, in fact, an optical illusion
that conveys the appearance of a celestial body moving in the opposite direction.

You also need to understand the difference between the Heliocentric and Geocentric systems of orbits. I have
noted this above. Heliocentric orbit is a planet position in relation to the Sun; and Geocentric orbit is a planet
position, relative to the Earth.

The main core difference between these two coordinate systems is that, all celestial bodies move with relative
constancy, relative to the sun from year to year, and the coordinate system of the geocentric system is in
constantly changing.

Just as often, Gann considers such an event as the Planetary Ingress. In fact, this moment is marked by a
certain date, when a planet moves from one Zodiac sign to another.
When I change the date in Cosmogram, you’ll see that the planet symbols move clockwise on the Protractor.
When a planet enters the zone of a new Zodiac sign, it usually suggests a trend reversal or a new wave’s start.
To apply Gann Astro method to trading, you need to follow the following rules by William Gann.

Rule 1: Simultaneous planetary ingress of a planet and the sun during the same day means high probability if
the trend reversal on the same day.

Rule 2: Simultaneous planetary ingress of a planet and the sun during two consecutive days suggests the trend
is about to change during these two days.

Rule 3: On the day, when only a planet or only the sun enters a new Zodiac sign, you need a confirmation by
additional astrological signals. If there are such confirmations, this satiation may result in the trend reversal.
But this signal is not so important as simultaneous planetary ingress of one, or a few planets, and the sun.

Another important moment is that the Moon is not taken into consideration, when using this method!

I’ll go on and apply the rules to the BTCUSD ticker. In the chart above, there are the following key points.

May 21 - The sun entered Gemini, Uranus entered Taurus, Mars joined Aquarius, Venus joined Cancer. As it is
clear the chart above, following this event, the market dropped rather sharply.

October 24 - The sun entered Scorpio, Uranus entered Taurus. This event did not affect the momentum in the
chart. However, it can be seen as an early signal of a sharp impulse downward movement due to an additional
signal on November 1, when Mercury entered Sagittarius.

So, the BTCUSD history suggests that this method can really work. However, you need to take calculations
error into account for planetary ingress of planets with long orbits, like Uranus, Neptune, Eris. When there are
signals concerning these planets, it will be good if faster planets send confirming signals.

The next twin planetary ingress will be on February 12, 2019. On this day, the Sun will enter Pieces, and Mars
will have just started joining Taurus.

As my experiment proves, this event doesn’t always influence the market. Therefore, it is better when a twin or
a multiple planetary ingress is confirmed by other astrological signals, or by tools of technical or mathematical
analysis.

Another important concept of astrology is Declination. The Cosmogram is the map of celestial dome, it also has
cardinal points and the equator, the imaginary line that divides the map into two two conditional parts – the
northern and the southern hemispheres (see the red lone in the figure above).

Therefore, each planet can’t move more than 90 degrees from the equator. The point of a the point of contact
between the planet and the celestial equator is called the declination point.

When a planet moves north of the celestial equator, it is the northern declination. When it move south, it is the
southern declination.

Such transitions are important for astrologers, and so, I must also take them into account in my forecast.

Gann pays special attention to the Moon declination, that is the moment when the Moon pass across the
celestial equator. According to his personal observations, at this moment, there is often forms a ivot point that
marks the trend ending or the start of a new wave.
If you look at the BTCUSD ticker movements and the Moon declination in the chart above, you’ll see that they
quite accurately coincide with major momentum movements and pivot points.

I marked the northern declination with the blue line, and the southern declination – by the orange line. As you
see, the declination type doesn’t correlate with the movement direction. So, you need to pay attention the
event itself, rather than to its direction.

The next Moon declination will be on December 28, and the following one will be on January 12. So, we will be
able to check how this indicator works.

Next, I’ll describe the ways to anticipate the price levels by means off Cosmogram. I will also explain how to
apply astrology to the Square of 9.

Cosmogram practical application: Retrograde motion and the Price and Longitude Conversion
Method

Continue studying basics of astrology according to Gann’s method and its practical application. A
detailed description of the Retrograde motion and the Price and Longitude Conversion Method.

I go on to delve into the secrets of Gann trading models, in particular, cosmograms and market analysis,
according to the stars.

In the above part, I wrote about main concepts, William Delbert Gann uses in his studies. They are the location
of planets and celestial bodies in relation to the Earth; the planets moving between different Zodiac signs and
the location of the Sun and the Earth.

I also mentioned the Retrograde motion. As I’ve already wrote, it is an optical illusion when the movement of a
celestial body seems to opposite.

Gann himself didn’t pay much attention to this phenomenon; it is not often mentioned in his writings. But I am
curious and want to understand every detail, so I want to delve into it deeper.

For this methodology, it is important to consider a few rules:

1. The Retrograde motion is important for the market on the days when it starts and ends.

2. When the start or the end of the Retrograde motion coincides with other astrological phenomena, it
increases the probability of a momentum move at this moment.

3. The influence of the Retrograde motion of each particular planet on each particular instrument needs
to be studied separately, as the effect and the power may be different.

4. The Retrograde motion is featured only by the planets, moving around the Sun.

For practical application, I analyzed Mercury motion during 2018. This planet has the shortest orbit, that is, it is
the closest planet to the sun. So, based on statistics, the planet should have had this phenomenon most often
during the past year.
To perform this analysis, I used Gannzilla Pro v.8.2, as usual.

For the sake of convenience, I removed all unnecessary elements and left only Mercury and the protractor on
the map.

Next, I analyzed all days, starting from January 1, 2018 to see how the planet is moving clockwise. However, at
the shift between March 23 and 24, the planet started moving in the opposite direction, so, the Retrograde
motion started.

It is clear from the cosmogram that Mercury stopped at 19 degrees on the protractor.

If we continue going through the days one by one, we’ll see that, between April 19 and 20, Mercury changes the
direction and starts going clockwise again.

You see that the motion stopped at 5 degrees on the protractor.


Finally, I marked the dates when the Retrograde motion started and ended. For the accuracy of the
experiment, I continued my observations, which I marked in the chart above.

I was myself surprised, but each date, when the movement in the opposite direction started, exactly matched
to the start of Bitcoin downtrend or a bearish momentum.

I marked the lines (24.03 / 31.07 / 20.11) with blue in the chart above.

The next date when the Retrograde Mercury motion starts is March 7, 2019. And so, we can expect a
downtrend around this date.

I marked the dates of the Retrograde motion end with orange lines. It is clear in the chart above that these
levels are not so accurate, but they quite often match to the bullish corrective wave or mark its soon start. The
dates are 19.04 / 23.08 / 08.12.

The next date of the Retrograde motion end is March 31, 2019. Therefore, around this time, I can assume at
least a bullish correction.

If you think that I adjusted the dates to the BTC price chart, I suggest you check them on your own. It is very
simple.

Finally, as a result of my research, there are levels, which are already sufficient to identify the point and the
direction to enter and exit a trade in future.

You may study the Retrograde motion of other celestial bodies as your homework, my dear readers. I will be
happy to learn about you research of other instruments and other planets in the comments.

Finally, I’d like to remind you once again that, in astrological analysis, every event, like in technical analysis,
should be confirmed by other astrological events. It is even better, when different kinds of analysis suggest the
same point; then you can really say that the stars aligned in this place.

Continuing to dwell upon the idea of the planets’ location relative to the Earth and their influence at each point
on the price of a trading instrument, Gann developed a unique timing method, it is Price and Longitude
Conversion Method.

The greatest difficulty of this method is, however strange it may sound, to convert price to degrees of
longitude.

The matter is how to refer price to the degrees of Zodiac if there are only 360 degrees and the price can be
any.

You will be lucky if the price for your trading instrument is about 360 USD. In this case you can safely apply the
ratio of 1 USD - 1 degree. Since Gann worked in the US commodity markets, where all prices were quoted in
dollars and their price was much higher than 1 USD or 2 USD, the problem was solved quite simply. By default,
he just applied this ratio - 1 to 1. Consequently, the product price that was more than 360 USD was converted
into longitude very simply. If every 360 USD is a whole circle, then all conditionally completed circles were
discarded and there was a remainder, which determined the longitude of the current price on the cosmogram.
For example, bitcoin current price is 3679 USD; therefore, it is 10 circles, 360 degrees each. The remainder of
the last circle that is 79 USD; it defines the longitude on the cosmogram.

Considering the current cryptocurrency market situation, this methodology doesn’t suit very well because it
doesn’t take the market volatility into consideration. It is obvious that for the instrument, whose price is about
1 USD and for the instrument that can cost 10 000 USD, the increment of 10 dollars will have a completely
different meaning!

What should those do, who trade the instrument, cheaper than 1 dollar? And what should those do, whose
instrument is quoted not in dollars but in bitcoins, for example? Then, the price can go down as low as one
hundred millionth (0.00000001)

For these cases, I offer an alternative way to convert price to longitude. To do it, I suggest using the following
formula:

Since, according to the zodiacal circle or the cosmogram, the Sun makes a circle within one year in the
geocentric model, and the earth makes one circle around the Sun in the heliocentric model, I suggest using one
past year to calculate the formula.

To test this model, I’ll take the low and the high of 2017, in order to check the data obtained by the BTC/USD
price movement in 2018.

Therefore, it is clear from the above chart that the low of 2017 is 755 USD, and the high is 19666 USD.

I enter these values in the above formula and have the following:

(19666 – 755)/360 = 52.53 USD

As a result, I get the ratio of 52.53 USD = 1 degree of the diagonal.

Now, remember what planet combinations Gann defines (I wrote about it above).

For this method, Gann pays special attention to the following combinations:

Square – two planets are at a distance of 90 degrees from one another

Trine - two planets are at a distance of 120 degrees from one another

Opposition – two planets are opposite at a distance of 180 degrees

Now, my objective is to identify what planet currently influences the market.

To do it, I take the first local extreme, recorded in the new year, for the analysis.

At my experimental square, it is the local high of January 6, 2018 at 17234.99 USD.


Next, I convert this price to degrees, considering the increment. So, I divide the price level into the increment
size:

17234.99 / 52.33 = 329.35

Finally, I have 329 degrees longitude at the Zodiac circle.

For clarity, I marked this value at one of the angles of Trine or simply a triangle in the figure above.

As a result, you see that this level is at Aquarius. As I’ve already wrote, each Zodiac sign has 30 degrees. At the
Aquarius sign, the price is at degree 29.

Now, I need to identify the planet that will be the closest to its Zodiac sign, compared to 29 degrees.

It is clear from the figure above, that the closest is Uranus at 25 degrees in Aries.

Next, already taking Uranus location into account, I draw a triangle and a square.
I got five more longitudes:

Three longitudes, indicated by the square are 115 degrees, 205 degrees, 295 degrees

Besides, 205 degrees will be here the strongest longitude as it is in opposition to the current Uranus location.

Two longitudes, indicated by the triangle are 145 degrees and 265 degrees.

Therefore, I have the following levels:

Three values, suggested by the square are 6017.95 USD, 10727.65 USD, and 15437.35 USD.

Two levels, indicated by the triangle are 7640.18 USD and 13867.45 USD

I marked these levels with dots at the studied date of January 6,2018.

Since all celestial bodies are constantly moving, I need to regularly update these dots.

Uranus is in a distant orbit of the sun, its movement along the cosmogram is very slow, and so I don’t need to
correct the values every day.

In total, till 30.09.2018, that during 10 months, Uranus moved by just 7 degrees and is at 32 degrees longitude
of the cosmogram.

Therefore, all key levels have also moved by 7 degrees. So, I need to correct them, according to new angles. I
have the following levels:
Three values of the square are 122 degrees or 6384.26 USD, 212 degrees or 11093.96 USD,302 degrees or
15803.66 USD.

Two values of the triangle are 153 degrees or 8006.49 USD, 272 degrees or 14233.76 USD.

I also mark these levels with dots in the chart. Now, I can connect the identified intervals and so, find out the
support and resistance levels.

As you see from the chart above, the level of 205 degrees or 10727.65 USD really was the strong support, and
the market hadn’t been going lower for quite a long time.

The most illustrative is the level of 115 degrees or 6017.95 USD. This level was a powerful support to the
market and the BTCUSD ticker hadn’t been able to break through for 8 months.

I emphasized September 30 not by chance. That matter is that on the night from 30.09 to 1.10 the Retrograde
motion, I describe above, started.

As you remember, this event means the trend reversal. In this case, it was soon followed by a new bearish
wave after a long consolidation.

If you scroll the cosmogram calendar forward, you can see that this motion ends on February 21. Therefore,
the end of the Retrograde motion may harbinger the trend reversal or at least a strong bullish correction.

During its Retrograde motion, Uranus angle reduced by 3 degrees and became 29 degrees.

Therefore, I again need to correct the key levels.

The new values are in the chart above.


I go on tracking the history of movement and see that the ticker broke out the last key support at 6384.26 USD.

What are the support levels below?

It is only the angle of the planet position left.

In the given case, for Uranus the angles are 25 degrees on 06.01.2018, 32 degrees on 30.09.2018, and 29
degrees on 21.02.2019.

So the last edge before the abyss is, first, at 1308.25 USD, next, it is 1674.56, and, finally, it is 1517.57 USD.

I marked these levels in the chart above.

So, I described the way to convert the price to longitude according to Price and Longitude Conversion Method.

In order to fully apply this method starting from January 6, when I identified the first extreme, I also need to
find out the closest planets with short orbits, such as Mercury, Venus and Mars. If the rapid and slow planets
are far from the chosen extreme, I will need to choose another one.

The planet deviation from the price shouldn’t be more than three degrees.

If you check the location of rapid planets on January 6, 2018, you’ll see that the fast planet nearest to the price
level is Mars (24 degrees, compared to 29 degrees), but the difference is still too big.

To choose another extreme, the perfect will be the one, marked at the levels, identified by means of the planet
with long orbit. In the given example, it is Uranus.

It is clear from the chart above that the ticker obvious formed a peak at level 5920.72, close to the last level of
Uranus square.

I convert 5920.72 to degrees and get 113 degrees.


By means of cosmogram circle, I find out that 113 degrees are at 23 degrees at Cancer signs.

Now, I look at the location of the fast planets with a close position angle on the map in relation to its Zodiac
sign.

You see from the cosmogram (see the figure above) that the most suitable position among the fast planets is
taken by Venus – 24 degrees at Aquarius sign.

Next, I find out Venus angles, suggested by the triangle and the square and track their movement in the price
chart.

Finally, I get the following angles 54 / 84 / 144 / 204 / 234 degrees.

I convert them in USD and have:

2825.82 / 4395.72 / 7535.52 / 10675.32 / 12245.22 / 16954.92 USD

For a detailed analysis, I take only the angles that are the closest to the extreme; they are 84 / 144 / 204
degrees or 4395.72 / 7535.52 / 10675.32 USD

Next, I go on updating the chart daily and monitor the ticker movements in relation to the levels identified.

You see from the chart above that the longitude of the square and the triangle angles to Venus is constantly
increasing, following the planet motion. Eventually, each of these lines will go along its 360 degrees and its
development will end. But somewhere below, there will be a new line, resulted from the angles’ movements.

It is clear from the chart that the breakout of Venus short lines drives the ticker to the level of Uranus long
lines. Finally, I can find out the points to enter and exit a trade and act according to the rules of channel trading
and trend trading strategies.
For example, when crossing the equator, i.e. 180 degrees, the opposite angle will create in the chart a new
point with the size of one degree or 52.33 USD.

Now I draw Mercury levels from the current values.

To do this, I enter the value of the last extreme in the date box; it was formed on December 15.

Next, I find out Venus position on cosmogram at the movement. Then, I identify the angles of the square and
the triangle in relation to the calculated planet angle and convert the degrees to the price levels.

I consecutively switch the date counter and make sure that the planet does not enter Retrograde motion. I
don’t usually see more than two weeks ahead for middle-term analysis.

For the next points, I enter 01.01.2019 in date box.

According to the new date, the planet will move along the Zodiac, and so all the five angles, identified before
will also change.

I convert the new values to price levels and mark them in the chart. I connect these two points with a line,
whose direction can be projected into future.
Finally, there are two channels, where the ticker is trading. One is formed by the long blue lines of Uranus;
another one is bordered by the short red lines of Venus.

Therefore, since the market is in Uranus Retrograde motion, the ticker is likely to break out the support level at
the red channel. Besides, the instrument can move inside this channel as its upper border is near level 6000
USD. There, there is the next level of Uranus blue line, which is currently the strong resistance to the
cryptocurrency traders.

For a more detailed analysis, I need to study other Gann levels, identified earlier by means of other methods.

The main advantage of this method is that it is compatible with any trading strategy for middle-term and long-
term trading.

That is all I wanted to write in this part, devoted to Retrograde motion of celestial bodies and the Price and
Longitude Conversion Method.

In the next post, I will describe specific combinations of different planets on the cosmogram and the method of
combined application of astrology and the Square of 9.С

Сosmogram: Specific Combinations of Different Plants

I continue one of the most enigmatic and mysterious topics in the Gann’s works and, perhaps in all the studies
devoted to trading, is the use of cosmogram and Square of 9.

Today, I’ll start with specific planet combinations and their influence on price action of different trading
instruments.

I already mentioned in my previous articles that there are several certain combinations of planets, defined in
astrology:

• Conjunction - two planets are at the same longitude


• Sextile – two planets are at a distance of 60 degrees from each other
• Square – two planets are at a distance of 90 degrees from one another
• Trine - two planets are at a distance of 120 degrees from one another
• Opposition – two planets are opposite at a distance of 180 degrees
• Semisextile, two planets are at a distance of 30 degrees
• Semisquare, two planets are at a distance of 45 degrees
• Sesquisquare, two planets are at a distance of 130 degrees
• Quincunx, two planets are at a distance of 150 degrees
In this list, Gann especially distinguishes Square (when two planets are at a distance of 90 degrees from each
other) and Trine (when two planets are at a distance of 120 degrees from each other), as well as the
Conjunction of two planets.

Gann believed these three combinations to be the key ones for any type of the market.

Besides, it is important which planets make up a Trine or a Square. Gann in his studies observes the motion of
9 planets, they are: the Sun, the Moon, Mercury, Venus, Mars, Jupiter, Saturn, Uranus, Neptune.

That is, there are 80 possible combinations of different celestial bodies in total.

I won’t describe in detail all possible combinations; I would rather pay attention to those that Gann himself
distinguished.

In his studies, William Gann pays special attention to specific combinations of the following pairs of planets:

Sun - Mercury

Venus - Saturn

Mars - Jupiter

In general, this methodology is quite simple. In perfection, you need an instrument with long trading history in
daily charts.

It is a matter of fact that the longest trading history is featured by Bitcoin, that is why I’ll take this
cryptocurrency for my experiment.

To perform this test, I first need to construct the correct Cosmogram.

I’ll traditionally use Gannzilla Pro v.8.2 for my experiment.

The major program settings are in the figure above.

I switch unnecessary Aspects and Planets off and leave only the Sun, Mercury, Venus, Mars, Jupiter, and Saturn
visible.

For convenience, a suitable combination will be highlighted (see the chart above):
• For Square - the red line;
• For Trine - the green line;
• For Conjunction - blue circle, marking the planets that fall under the Conjunction.

Next, I open the BTCUSD trading history on the daily chart. I set the beginning of last year as the starting point
in the cosmogram.

I set the initial time in the Gannzilla Pro as 01/01/2017 and start slowly sorting out day by day in increasing
order.

The planets on the cosmogram begin moving and I only need to count the number of coincidences in which
one of the needed planet pairs will show a combination and the market will or won’t reflect any movement.

Finally, I’ll have statistics that will clearly show which of the planet pairs and in which Aspect has the strongest
influence on the market and in which direction.

The longer trading history you study, the wider is the selection, the more relevant will be your analysis.

For my example, the analysis for 2017 will be sufficient. But each if you may do the same, analyzing statistics
for other years and obtain a more accurate result.

So, starting to count from January, 2017, I get the first Aspect; it is the Square of the Sun and Jupiter on
11.01.2017.

Although it is not included in the list of important planet pairs, I will enter it in the table for the sake of
experiment.
As you see from the chart above, the BTCUSD rate dropped that day; so, it enter this event in a simple Excel
table for statistics. Furthermore, already the next candlestick was counter trend and started a new bullish
wave, so, I’ll also mark the trend reversal.

I should say a few words about the table itself. As you see from the figure above, it looks like a separate section
for each planet pair, where I mark the market response to each of the three Aspects: Square, Trine and
Conjunction.

The lines include four market phenomena:

• bullish momentum
• bearish momentum
• trend reversal
• flat or sideways trend

I count a bullish or a bearish momentum in case of a strong market movement during the astrological
phenomenon adjusted for one day before or after; trading flat, as you see, marks no market response to a
studied phenomenon. Besides, it should be noted that at the time of an Aspect there was a strong movement
and the trend reversed on the next day (as in the above example), I give a score to each of both events.

I go on my research, and the next Aspect is Mars - Saturn on 01/18/2017 and again Square on the screen.
Although this Aspect is not listed as the favourite pair of planets, I’ll still monitor this pattern within my
experiment.

It is clear from the chart above that this Aspect was preceded by a strong growth, so, I can assume that this
pattern became a growth signal.

I’ll also enter it in the table to the corresponding pair.

I go on doing the same until the last trading day.


Finally, I analyzed the market response to the positions of the suggested above planets and their different
Aspects.

I counted separately for each pair of planets, including those that Gann didn’t rank among the favourite ones.

I finally made about 139 records, which are of course not that numerous, but still sufficient to draw certain
conclusions and find out specific combinations of planets.

In total, during two years, I surprisingly found out almost equal number of Squares, Trines and Conjunctions –
50, 44 and 45 cases correspondingly.

Besides, it should be noted that, out of the whole number of records, flat is about 11.85%, i.e. almost 90% of
signal matched to a market movement, which suggest high efficiency of the studied signals. Moreover, 34% of
all signals resulted in trend reversal and only 36% of all signals were bullish. Bearish momentums matched to
only 17.78% of patterns.

I must say that one of the most distinct Aspects is the Conjunction of two planets. At its time, in 42 cases out of
100 the trend reverses and a new wave starts.
Admit, this result itself is impressive and means its high accuracy. A combination of this signal with technical
indicators can forecast the reversal point more exactly.

Out of all planet pairs, the trend reversal corresponded most accurately to the Conjunction of the Sun and
Mercury; in 56% of cases, it matched to the start of a new trend; furthermore, 71% of all signal sent by the
conjunction were bullish and only 14.5% - bearish.

Therefore, I can already single out one specific combination of planets for future analysis; it the conjunction of
Mercury and the Sun, which suggests a favorable situation for a bullish reversal.

I noticed that the planet conjunction is in general a positive signal for BTCUSD, which in most cases results in a
bullish reversal.

It is not that clear with Trine. The share of bullish signals, corresponding to this Aspect in the total mass was
only 57%, bearish signals were in 20% of cases. Furthermore, 30% of signals were followed by the trend
reversal.

The most bullish pair for BTCUSD in Trine was Mercury – Saturn; 80% of all Trines for this pair corresponded to
a bullish momentum. At the same time, 36% of all signals were followed by the trend reversal.

Therefore, I should mark for myself, another discovered specific combination of planets that works for the
BTCUSD. If Mercury enters Trine to Saturn, an impulse upward movement is 80% to occur. In case with bearish
trend, there might be a bullish pump.

Perhaps, one of the most controversial Aspects for BTCUSD was Square. It corresponded to a large number of
both upwards and downward momentums.

On the other hand, there is no particular pair of planets that will send a certain type of signals, so the signals of
Squares should be the most reliable.

The Square of Venus-Saturn indicated in 100% out of 100% the bullish momentum.

However, at the same time, Venus-Mars and the Sun-Saturn in 100% indicated the bearish momentums.

At the same time, it is remarkable that the planet combinations, emphasized by Gann, such as Venus - Jupiter
and Mars – Jupiter, proved to send rather weak and ambiguous signals. To be fair, I must say that I came across
very few patterns with them within the two years, I studied. The Aspects of Venus – Jupiter provided 7 signals,
Mars - Jupiter - only 4 signals.

The obtained results suggest two conclusions: First, for analysis, you have to study all possible combinations of
celestial bodies, and second, two years is a rather short period of time for a detailed analysis. So, to prove its
relevance, it is necessary to expand the period of studying at least for a few more year;, and it is best to start
from the very beginning of cryptocurrency trading, when the first Bitcoin block was generated. But that is
another story.

I believe you see how to use the data obtained in practice. You need to find out the discovered patterns in the
bitcoin future price chart and mark them.

In the given case, they are:

• Conjunction, the Sun-Mercury suggests a high probability of the trend reversal and bullish momentum;
• Trine, Mercury - Saturn - high probability of a bullish momentum;
• Square, Venus-Saturn - high probability of a bullish momentum;
• Square, Venus-Mars and the Sun-Saturn - a high probability of a bearish momentum.
I scroll forward the calendar of the future cosmogram, and you see that the Sun will conjunct with Mercury on
31/01/2019 (see the figure above). Therefore, knowing that this pattern suggests a high probability of a bullish
reversal signal, I can set an alert on this date not to miss the moment. If on this day, or a day before, I see a
bullish divergence, or preconditions for the BTCUSD price rise, I can safely enter a long.

So, studying already future patterns of planets, based on the statistics obtained, I can correct my trading
strategy for BTCUSD.

It is clear from the chart above that on June 31 and on 15 March there will be the Conjuncture of the Sun and
Mercury, so, it a bullish signal for me. In general, a combination of several consecutive bullish signals may
indicate a possible start of BTCUSD bullish trend.
However, already on March 20, Venus will be in square to Mars, which already a bearish signal for bitcoin. Such
a close position of bullish and bearish signals means a critical point in this period of time, which may be
accompanied by strong market volatility and emotional tension. April 8, when the Sun will enter the Square
with Saturn (which is also a Bitcoin bearish signal) and the situation will clarify somehow and I understand that
a new bearish wave is likely to start in the middle of March; it may last till the middle of May. On May 17,
Mercury will enter the Trine to Saturn, which indicates a change of bearish sentiment or even the beginning of
a new bullish wave.

Therefore, I already have a kind of trading map, that will help me filter out the signals, sent my trading strategy;
combined with other tools it will help me trade more confidently.

But still, I must note that this case is an example of how one may use Gann’s theories in the modern
cryptocurrency market, rather than trading advice. For a complete analysis, it is necessary to expand the period
of research for a few more years, as well as to study other planets that could also perform good results.

Perhaps, one of the drawbacks of such an analysis is that it is complex and long process. In total, I have spent 8
hours to analyze specific combinations of just 6 planets and their three Aspects in the two-year period on the
daily chart. So, it is hard to imagine the analysis of the entire trading history, with all the parents and Aspects,
offered by the Cosmogram.

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