Tag trading

Tag trading

Chat GPT interviews WD Gann

Tags: , , , , , , Trading Insights
featured image

Interviewer: Good afternoon, Mr. Gann. Thank you for taking the time to speak with us today.

W.D. Gann: It's my pleasure. Thank you for having me. This is a nice change up for me, actually. 

Interviewer: How's that?

W.D. Gann: There's no Wall St. in heaven, and I miss the markets a little, to be honest. I like talking about them to other people. 

Interviewer: Happy to provide a change of pace for you. Can you tell us a little about your family and how they supported your interest in trading?

W.D. Gann: Certainly. My father was a farmer, but he also had an interest in the markets, and he encouraged me to pursue my own interest in trading. My mother was also very supportive and instilled in me a strong work ethic and determination to succeed. 

Interviewer: Mr. Gann, can you tell us what life was like for you as a young boy?

W.D. Gann: Certainly. As I said, I grew up on a farm in Texas, and as a young boy, I was responsible for helping out with the chores and working in the fields. It was a hard life, but it taught me the value of hard work and perseverance. Despite our rural surroundings, my parents placed a high value on education, and they encouraged me to read and learn as much as possible. I spent many hours reading books on a variety of subjects, including science, mathematics, and history. These early experiences had a profound impact on my later life and career.

Interviewer: Mr. Gann, can you tell us what life was like in the town you grew up in?

W.D. Gann: Sure. I grew up in a small town in Texas - Lufkin -  and life there was very different from what it is today. It was a close-knit community, and everyone knew each other. People worked hard to make a living, and there was a strong sense of self-reliance and independence. I remember spending many hours working on our family farm and helping out our neighbors. We didn't have many of the conveniences that we take for granted today, such as electricity or indoor plumbing, but we made do with what we had. Despite the challenges, it was a wonderful place to grow up, and I'm grateful for the lessons and values that I learned there.

Interviewer: That's interesting. How did you develop your interest in the markets?

W.D. Gann: I became interested in the markets after working as a telegraph operator for several years. I was fascinated by the fluctuations in market prices and the ways in which various factors could influence those prices. I spent countless hours studying and analyzing market trends, and eventually developed my own unique approach to trading.

Interviewer: Ever take time to settle down and start a family in-between all those books?

W.D. Gann: (laughs) Yes, I actually came out of the library into the sunshine from time to time. Long enough to get married in fact. 

Interviewer: Yes, I was going to ask you about that. Can you tell us a little about your wife, Nora?

W.D. Gann: Yes, I married Nora in 1902, and she was a wonderful wife and mother to our six children. Nora was a strong and supportive partner in my work, and she played an important role in my success as a trader. She helped me with my research and analysis, and she encouraged me to continue pursuing my interest in the markets even when times were tough.

Interviewer: Can you tell us more about your children?

W.D. Gann: Certainly. We had four daughters and two sons. My children were a great source of joy and inspiration to me. I encouraged them to pursue their own interests and passions, just as my parents had encouraged me. While none of my children became traders like me, they all went on to successful careers in various fields.

Interviewer: It's wonderful to hear about the support of your family. Can you tell us how they influenced your work as a trader?

W.D. Gann: My family was a constant source of inspiration to me. They encouraged me to pursue my dreams and to never give up, even when things got tough. They also played an active role in my work as a trader. My wife, Nora, was a trusted partner who helped me with my research and analysis. My children were also interested in my work and often asked me questions about the markets. Their support and encouragement helped me to stay focused and motivated throughout my career.

Interviewer: Tell me a little about your siblings. Big family?

W.D. Gann:  By your standards, absolutely. I had three brothers, and two sisters, who were quite a handful for my parents. One of my brothers - John - he left the farm and became a successful businessman and actually helped me with my trading career by providing financial support in my early days. 

Interviewer: How important was the support from John?

W.D. Gann: It was tremendous - and a huge blessing. During my early days, John's backing allowed me to trade more capital than I could have otherwise, which allowed me to take bigger risks and build my working capital up exponentially faster. John believed in me, and was proud of my accomplishments later as I refined my techniques. 

Interviewer: Can you tell us more about your trading strategies?

W.D. Gann: My approach to trading is based on a combination of fundamental and technical analysis. I studied market cycles, price movements, and other factors that can influence the market. I also relied heavily on astrology and numerology to predict future market movements. But it's important to note that I didn't rely on these methods alone. I combined them with rigorous analysis of market data and trends.

Interviewer: You mentioned using astrology and numerology to predict market movements. Can you tell us more about how you used time and vibration in your trading?

W.D. Gann: Yes, time and vibration were key elements of my approach to trading. I believed that everything in the universe, including the markets, followed certain natural cycles and patterns. By understanding these cycles and patterns, I could make more accurate predictions about future market movements. I used various techniques, such as calculating price and time targets based on geometric patterns, to identify these cycles and patterns.

Interviewer: That's fascinating. Can you give us an example of how you used these techniques in a trade?

W.D. Gann: Sure. In one trade, I used a technique known as the "Square of Nine" to calculate price and time targets for a particular market. Based on my analysis, I predicted that the market would reach a certain price level on a specific date. When that date arrived, the market did indeed reach that price level, and I was able to make a significant profit.

Interviewer: Mr. Gann, your trading techniques were quite unique and unconventional for your time. Astrology. Predictions. Geometric patterns. How did people react to them when you first introduced them?

W.D. Gann: Well, when I first began using my techniques, many people were skeptical. They thought that my approach was too complex and esoteric, and they didn't believe that it could produce consistent profits in the markets. However, over time, as I began to share my ideas and techniques with others, more and more people began to see the value in what I was doing. Eventually, I gained a reputation as one of the most successful traders of my time, and my methods became widely respected and imitated.

Even today, many traders continue to study and use my techniques in their own trading. Many still don't believe that time predictions can work though, something I've been observing from up here. It's disheartening. 

Interviewer:  Meaning?

W.D. Gann: I'm was always fascinated how complicated people made their trading decisions because they didn't believe the markets were predictive. After I was interviewed for the Ticker and Investment Digest - and they reported on my trades - people still didn't believe markets were predictive. Apparently that still holds true today. My friend Richard Wyckoff said that people don't like 'thought and research'...hated it, in fact. I can see how my techniques might intimidate them based on his assessment. It requires a little extra analysis. A leap of faith, if you will. 

Interviewer: Interesting.  What advice would you give to new traders today?

W.D. Gann: My advice would be to never stop learning. The markets are always changing, and it's important to stay up to date on the latest trends and developments. It's also crucial to develop a solid trading strategy and stick to it, even in the face of adversity. And to study Vibrational law, and the cycles of the markets. It's all based on Nature and Natural Law - which never changes. 

Interviewer: Thank you for your time and insights, Mr. Gann. It's been a pleasure speaking with you.

W.D. Gann: Thank you for having me. 

Overcoming the emotional stress of trading

Tags: , , , , , , Trading Insights
featured image
Traders, whether they are trading stocks, currencies, or any other financial instruments, must learn to control their emotions if they want to be successful. This is because emotions can often cloud judgment and lead to poor decision making, which can be costly in the fast-paced world of trading.
 
One way for traders to control their emotions is through the use of risk management techniques. This includes setting clear and defined risk limits for each trade, as well as having a solid trading plan in place that outlines the steps to be taken in various market conditions. By having a plan and sticking to it, traders can remove some of the emotional decision making from the equation and rely on a more systematic approach. We're amazed, after being in business for over 13 years. When we ask people to show us a copy of their trading plan, on average fewer than 5% of people we meet who describe themselves as day traders have an actual physical written out trading plan with any type of a statistical edge. Most people are 'shooting from the hip' and basing trades on 'in the moment' decisions that fail quite often. 
 
Another way to control emotions is through mindfulness and self-awareness. Traders should take the time to recognize and understand their own emotions and how they may be affecting their decision making. This can be done through mindfulness practices such as meditation, which can help traders gain clarity and focus, as well as through self-reflection and journaling. We have many customers who will actually monitor their emotions and ask themselves each day before they trade 'how do I feel?' They measure themselves objectively (physically and mentally) and rate their wellbeing. If they are less than a 7, they will only trade in SIM that day. They build in this emotional/physical 'circuit breaker' to make sure they're only trading when they are mentally optimal, and not prone to self sabotage that day. 
 
Traders should also be aware of their own biases and try to avoid letting them influence their trades. This includes avoiding overconfidence, which can lead to overtrading, as well as avoiding the sunk cost fallacy, which is the tendency to continue investing in a losing trade in the hopes of recouping losses. Instead, traders should focus on the potential future returns of a trade rather than the past performance or emotions associated with it.
 
It is also important for traders to remember that they cannot control the market, and it is important to accept this reality. Trying to fight the market or hold onto a losing trade can lead to emotional decision making and ultimately result in further losses. Instead, traders should focus on controlling their own actions and making decisions based on logical analysis and their trading plan. One of the reasons we developed our predictive software - was based completely on this idea. By understanding that markets had an element of institutional 'manipulation', we are able to study what is likely to happen in the future, versus fighting the market and trading it the way we would like it to go. 
 
To further control their emotions, traders can also seek the support of a mentor or a trading community. Having someone to discuss trades and strategies with can help traders gain perspective and avoid making emotional decisions in the heat of the moment. It can also be helpful to have a support network of fellow traders who can provide guidance and encouragement.
 
In summary, controlling emotions is crucial for traders in order to make sound and profitable decisions. This can be achieved through risk management techniques, mindfulness and self-awareness, avoiding biases, accepting market realities, and seeking support from mentors or trading communities. By learning to control their emotions, traders can improve their chances of success in the fast-paced and often volatile world of trading.
 
 
 
 

Asian session trading with TIME

Tags: , , , , , , , , , , Trading Insights
featured image

Today June 06 -21, we have a busy morning. It's a good session though, and I'm using predictive TIMES.

So, for me I just wait until the opening bell at 8:30. I live in Latin America, so my time clock has 1 hour of difference.

If you have the software already, my setup for my predictive time signal software (TachEON Warp) is as follows:

• Swing: 10
• Origination Mode: Trading Days
• Source Days: 1-2-3-4
• Volatility Stop Offset ATR: 1,2

 

 

Tacheon WARP

I excute my positions in 1 minute chart and watch the 3 min chart as the Anchor chart. I also use this chart to filter “the noise”, when I see to much signals closer in the 1 minute chart.

The price in the Asian session has its explosion move, so for my morning New York session the price is in range. Buyers are taking profits and reloading again, that’s my mindset for today.

The first possible entry was the puncture technique (“Puncture1”), but its to early for me. The second possible entry was the “puncture2” but I let I go. So, at 8:53 i open the trade with 4 contracts, the stop loss is 1 tick under the price line of the 8:53 signal, and I hold it.

I must confess that I was nervous with the pullback, but my 1,2 ATR stop offset setup gave me the required “room” to let the trade breathe.

Tacheon WARP

I cover my first 2 contracts with 23,75 ticks. At that point I move my stop loss to breakeven point, and the pullback take out my position.

Then this.

The opening bell starts at 8:30, I let the price run, the movement is violent like always and i am aware of the 8:33 signal in the 3 min chart, so my initial bias can be correct. I left a buy limit order near the 120 EMA but the price in the pullback does not reach the order, so I let the price go.

I am over the 120 EMA. Where do I have the next bullish time signal?, at 8:53, so I have to wait until that time.

 

 

My daily profit target was achieved. $510 usd.

 

Juan Fernando Vega

Mechanical Engineer

Bogota-Colombia

Trading GANN times on the NASDAQ

Tags: , , , , , Trading Insights
featured image

Today im trading the E-mini Nasdaq

I have a daily routine in trading. 30 minutes before getting visual contact with my charts. I take my time to meditate with music, in my desktop chair and visualize my entry patterns. Remember that my trading is based on predictive signals, so y anticipates in my mind the Patterns 1 and 2 and the inverted patterns 3 and 4 specifically.

For the E-mini Nasdaq futures market, the price per tick specified by the CME Group is $20 per tick. Always you read my articles, you can find my routine before opening bell as follows:

1. Read my economic calendar.
2. Check the range before the opening bell. Accumulation zone
3. And identify possible range zones y the future. Closer signals in the Warp panel
4. Ready with my ATM of 3 or 4 contracts
5. 3 trades per day

This is my 3minute chart and determine the trend tendency from the Asian session as Bearish. After a big move trend there is always a “pause”; So for today for me I’m waiting before the opening bell, that the Price closes the gap to the 120 EMA, and validate a possible bearish entry.

Trading leading GANN times on the Emini Nasdaq

When the markets open, I wait for a candle that closes under the 120 EMA. My Stop Loss is 1 tick above that candle. At 8:36 that candle appears and I activate the trade. The size of the candle determines $300 of stop loss, that is ok for me and my actual capital...

Leading Predictive Times help guide my trades

Even if I have the 8:37 timestamp signal so closer. In my mind I ignore it. Why?

Because in my 3 minute chart I have enough time space between 8:39 through 8:51. That’s a personal way to reduce the noise, when I found to much closer signals in 1 minute. I can wait for leading predictive times which have more time between them, for longer trades to develop with potentially more profit. 

Watch how the times setup perfectly for my trade

The next step is the manage the trade so in the last 1 min chart shown above I have a window between 8:42 and 8:51 so I hold the trade until that time. I alternate visually between the 2 charts. I also trail my stop in the big picture chart using one candle closed behind the active candle price.

Managing the trade

The next move was so hard that closes my trade in profit.  I ended my day with 3x my personal daily profit. That is $1.640

Taking profit

 

Good trading, everyone!

Juan Fernando Vega

Mechanical Engineer

Bogota-Colombia

Spanish - Support

Perfection is the enemy of execution

Tags: , , , , , , Trading Insights
featured image

By Juan Vega, contributing author and trader / Bogota, Columbia

When you are using warp software, there are sometimes when you cannot find the predictive times signals “aligned”.

As a trader, at the beginning I always want the perfect dot in the swing highs and swing lows, telling me, the market is ready, perfect, just execute! But after several failures I asked for help and paid for learning “inversed patterns”. I also have paid for the trading room 2 or 3 years ago, to learn more and ask more, maybe my first 2 or 3 months.
I trade with 2 charts always: My fast time frame chart in 1 minute and my anchor chart in 3 minutes. Sometimes I check the warp panel to identify messy time signals. So, when I see too much signals closer each other, defining me the “range” type market, I use my 3 minute chart more often. My trading session hours are from 7:30 until 11:00am max. I trade the New York Session that its perfect for me.

Today I trade Gold futures market, who pays $10 per tick. And my plan is simple:

1. Read my economic calendar
2. Check the range before the opening bell. Accumulation zone
3. And identify possible range zones y the future. Closer signals in the Warp panel
4. Ready with my ATM of 3 or 4 contracts
5. 3 trades per day

 

Watching predictive indicator for trade entries

At the left I identify the range before, 8:20, so at 8:31 I did not see any violence in the price or a clue to validate my entry. So I said, " if the candle closes over the 120 EMA (the blue one) I open a trade."

And it did it.

Watching what happens at the predictive times

If you check at that time, I have a yellow dot (08:41) Signal. When you have this situation, I just take the dot as an objective profit level; If the price crosses the profit level, I HOLD it until the next price signal (8:48). My ATM for 4 contracts in Gold is, First 2 contracts takes profit @ 20 ticks, Third contract @ 40 ticks and the third one “the runner” @ 80 ticks.

For my Risk management, I just said: “Or pay me the first 2 contracts or activate my Stop Loss”. For this trade My first 2 contracts reaches the first 20 ticks ($400), at that moment my ATM moves my Stop Loss to BE(Break even), and the other two contracts were closed when my time at 8:48 was ended for ($540). At the level defined by the dot signal @ 08:58 I identify a pattern 4, and I was expecting a moderate size candle closing over the yellow line, but it never comes!!.

Executing responsibly at the predictive indicator times

The New Home sales report was lunched, and the price pumped up. I just said “Bye Bye” the candle was too big for me, and never comes back, 50% of the candle to take a risky trade, by price action with lower size position. I ended my day with almost 1k and trade no more. I was satisfied, because I know what to wait, and what the price are doing combined with the predictive signals. My training hours at the beginning of my predictive technique journey paid off the investment sessions.

Juan Fernando Vega
Mechanical Engineer
Bogota-Colombia
Spanish - Support

 

 

How I trade predictive time signals

Tags: , , , , , Trading Insights
featured image

Contributed by Juan Vega / Futures Trader / Colombia

It’s fascinating been exposed to the 30 largest companies of the US in the future market. The E-mini-Dow represents a portion of the standard Dow Jones industrial average futures. Three months from now I been trading the E-mini dow jones contract using predictive signals in 1 and 3 minutes timeframe.

I also have included in my 1-minute chart the 120 EMA of my 3 minute chart, just to have a visual zone, where the price can react.

The minimum price fluctuation specified by the CME group is $5 dollars. There are other markets more attractive that pays “more” per tick. But what fascinating me is the “behavior” of the market during the predictive times signals that the software gave me in advance. In my chart the yellow dots are selling pressure signals and the white dots are buying pressure signals, you can change the color if you want, it's just my preference.

In markets like NQ or ES I wait the second or third signal after the opening bell, But with the YM, I have tested and open trades during the opening bell. I have included in my trading plan that option only for the YM, I also open trades if I have a signal before like 8:21 or 8:25 and hold until the open.

I also check my economic calendar for the day, just to see the context of the day, but, honestly, I just execute the time cycles trading signals, that my system says to me.

As a result, I open 2 trades in the YM with 4 contracts each trade. I also knew that the housing starts and permits news was at 8:30.

 

 

Patiently I wait the reaction under the 3 min 120 EMA and make the entries when the candle close under the 1 min 120 EMA.

First trade 45 points x $5 x 4 contracts, the second one 100 point x $5 x 4 contracts. I was near the 3k today.

My stop loss changes from 32 pts (32 x $5 x 4=$640) based on the ATR (Average True Range) in that moment for 4 contracts to 64 points for the second trade. This ATR for me is too big, so I wait the candle close confirmation under the 120 EMA.

The predictive signals “aligned” with the swing highs and lows of the movements the institutions have done in the past. I know that, since yesterday.

Now the most beautiful for me, is, I make my day.

What can I do with the rest of my free time?

That’s Professional Trading. Time to think, for family, for me, and create new investments.

Juan Fernando Vega
Bogota-Colombia
Spanish - Support