Gann line

Gann angle is the geometric correlation between time and price. The important factor is the relationship and scales between the 2 axes.

W D Gann called it squared charts. Gann use 1/8 point scale in stocks. It depends on how fast the stock move and the price of the stock. Usually I would use 1 point for 1 day for fast moving stocks over $100, 1/2 point for $50 - $100, 1/4 point per day for under $50 stocks. But this can be very confusing and giving too many outcome probabilities.

I don't do the scale anymore, instead I rely on computer software to identify the proper scale. I work backwards by putting a lot of gann lines on the gann chart and visually identify which scale to use.... more Gann line information in www.w-d-gann-trading-methods.com

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