Swing Trading Rules Using Gann Astro Technique

My Trading style is based on the “Gann Astro Technique”, a short-term method for trading daily price movements that relies entirely on Concept of Time Cycles.

Time is the most important factor in determining market movements because the future is a repetition of the past and each market movement is working out time in relation to some previous time cycle.

Gann would incorporate Scripture, natural laws, numerics, geometry, Pythagorean harmonics, astrocycles and the Law of Vibration. Gann’s primary source of knowledge forecasting future events was his knowledge of the historical correspondence between cosmic vibration (celestial harmonics) and its effect on man’s “psycho-biological cycles”. These cycles have historically correlated with mass Traders psychology and are reflected in Stockmarket movements, as well.

Even in Ancient Scriptures there is mention of time cycles

The advice on cycles is by no means a monopoly held by the Judaeo-Christian scriptures. The ancient Mayan Indians had a text which read “All moons, all years, all days, all winds reach their completion and pass away. So does all blood reach its place of quiet as it reaches its power and its throne. Measured was the time in which they could praise the splendor of the Trinity. Measured was the time in which they could know the suns benevolence. Measured was the time in which the grid of the stars would look down upon them; and through it, keeping watch over their safety, the Gods trapped within the stars would contemplate them.

Because this short-term swing technique generates frequent trades, it is important to know the “correct plays,” to lock in profits, and to seek the “true trend.” Taking a loss is merely playing for better position. One trades strictly for probable future results, not for what the market might do.

To know the “correct play” is to know whether to buy or sell first, to exit or hold. Trades are based on “objective points,” which are simply the previous day’s high and low. Movement between these two points determines the “true trend.”

When swing trading, adjust your expectations. The lower your expectations, the happier you will be and, ironically, the more money you will probably make! Entries are a piece of cake, but you must also trust yourself to get out of bad situations and trades. It is important to use tighter stops when trading swings and wider stops when trading trends.

Gann Astro Technique teaches you to anticipate! Never react!

Know what you are going to do before the market opens. Always have a plan–but be flexible!  Know how to trade out of trouble situations and get off the hook with the smallest possible loss.

Few Video We will explain our past Trades

Basic Rules for Swing Traders using Gann Astro Technique

  • If the trade moves in your favor, carry it overnight–the odds favor follow-through. Expect to exit the next day around the objective point.
  • If your entry is correct, the market should move favorably almost immediately. It may come back to test and/or exceed your entry point a little, but that’s OK.
  • Do not carry a losing position overnight ie. if trade is closing below your Entry Point but have not Hit you StopLoss. Exit and play for better position the next day.
  • A strong close indicates a strong opening the following day.
  • If the market offers you a windfall of big profits, take them without anticiapting another big move.
  • Use tight stops when swing trading (wider stops when trading trend).
  • It is OK to use intuition and to listen to that little voice inside your head, “Does the trade feel right?” If in doubt, get out…!
  • In all systems, winners are skewed. Even though making steady profits, 3-4 really big trades may actually make the month. It is vitally important to always “lock in” your trades. Don’t give back profits in trading.
  • NEVER, ever, average a loss! Sell out if you think you are wrong. Buy back when you believe you are right.
  • NEVER, NEVER, NEVER listen to anyone else’s opinion! Only YOU know when your trade isn’t working.

Because a certain amount of confidence in any technique is required to trade it consistently, paper trading can cultivate the faith necessary to recognize and trade pattern repetition. You grow with each decision, yet each decision has a price–you must discard a choice, and you must commit. Conditions are always imperfect! You must allow yourself to fail. Allow for human limitations and incorrect choices. Reserve compassion for yourself and your limitations.

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