I've been experimenting with Gann Angles for a while (a sidetrack of working with Pyrapoint) and I'm still amazed at their applications . . . and GAs are at least 70 years old.

The key to GAs is squaring your chart properly. Since I haven't figured out how to do it properly (yet) in all time frames (gets into planetary stuff) I've been using Howard's automatic angles in Ensign. They do an OK job.

One important application of GAs is to determine when the market is tradeable or not. This can be done with moving averages and other techniques but I like GAs because they establish an architecture well into the future. To me, a market is tradeable when it is "running with the angles." Running with the angles is like going the right way on an escalator. When you run against the angles you encounter sideways action and chop. (By the way, Andrew's Pitchforks show the same type of thing but to me GAs are cleaner since you only need one pivot.)

If the market has been kicking your ass recently, it could be because you're on the wrong side of the market (you're not running with the angles but against them). GAs are a good way to stay on the right side. Could be your system works better with the angles than against.

Vey important - time frame. Most of you commenting on how tough the market is have not explained what time frame you are using. Some time frames are choppy on given days while others aren't. It's all relative, and once again GAs can help tell if you're on the right side.

When using GAs, I focus on the 45 degree or 100% line or 1x1 line (three names for the same thing). I want price to run parallel to my 1x1 line drawn from a major pivot. Once price breaks outside the 2x1 line, the momentum (oomph!) behing price is waning and chop sets in. It may reappear, or it may not. In other words, price blasts out of a pivot very directionally and then begins to flop around. The directional area is where the probabilities are in your favor. GAs define that action very well. Another "play" is that price fails to reach an angle and reverses. Still another "play" is that price zooms past an angle and then goes back immediately in the opposite direction. (GAs seems to work the same as Pitchforks in many respects.)

In the attached charts, the GREEN area is where price is running with the angles and the YELLOW where it is not. Note that the 15 min chart includes the 2 min and the 60 min includes the 15 and 2 min. You can see that running with the angles is a relative thing and very dependent on time frame.

Conclusion: Try to stay with the dominant angles in your timeframe. This should help some of you get back to being profitable!

John