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Intraday Trading using Gann square of 9 Calculator Gann square of 9 calculator is used to generate support and resistance levels for intraday trading. The supportresistance levels are generated using the values in Gann square. GANN Square of 9, Gann Square of Nine, Square of 144 and the Hexagon are some of the many works from Gann that are popular. The Gann square of nine gets its name because if you look at the above chart again, the number 9 represents the completion of the first square. It is also known as a 9x9 chart, or simple square of 9. Gann Square Of 9 Excel Table Gann's square of nine calculator is meant for intraday trading. It is named after William Delbert Gann, who developed this and many more financial trading analytical tools. This gann calculator uses Last Traded Price (LTP) of any stock to provide buy and sell suggestions. The Gann square of nine gets its name because if you look at the above chart again, the number 9 represents the completion of the first square. The square of 9 is a spiral of numbers with an initial value “1” starting at the center. Starting from this value, the number increases as we move in a spiral form and clockwise direction.

This is a brief documentation for the free Gann Square of Nine Excel Workbook file located in the software store.

I have some material written on the subject of Gann Square that I planned to publish soon. Then I realized that without a working Gann Square on hand it will be difficult for many people to understand what I am talking about. It is better to upload the Excel workbook and the code library first and then follow up with the articles.

Basic Usage of the Gann Square of Nine Excel Workbook

First it is an Excel 2007 file so you need a newer version of Excel to work with it. You also need the VBA enabled in the workbook to use it as the Gann Square functions are implemented in Excel VBA. And before anyone asking why not do it in Google spreadsheet, it is not a good idea at all because Excel is way better in this aspect in terms of customization and application building.

After opening the workbook, the example gann square will show up. You can use it as is. Print it out for reference, look up values from there, etc.

Wd Gann Square Of 9 Excel

There is also a second spreadsheet in there called Gann Square Custom. It showcases the possibility of constructing custom gann sqaure based on different initial settings.

Customization And Utilization Of The Gann Square of Nine Excel VBA Library

When you want to go one step further and build your own customized Gann Square, then you need to follow the following steps.

1. Make a copy of the workbook using a different name as you need the VBA code library from the workbook. Advanced Excel users can do it in one of many other ways in including the code library.

2. On the spreadsheet that you want to create a new Gann Square, locate the cell that you want to put the Gann Square to and give it a name using Name A Range command in Excel. The example spreadsheets named the center cells as gann and gannc.

3. Fill every cell in the region for Gann Square with this single formula,

=gannValue (center cell name)

3a. if you want to experiment with custom Gann Square configuration you can use the following formula instead,

=gannValueCustom (center cell name, center square value, increment value)

4. Ring color formatting in the examples are done using conditional formatting in Excel. The formula is essentially a reverse calculation of the ring value based on the property of Gann Square which I will discuss in a separate article.

Following is the conditional formatting formula used in the custom gann square example,

=MOD(ROUNDUP((SQRT((RC-3)/0.5+1)-1)/2,0),2)=0

'RC' in the formula is the current cell relative reference in R1C1 style.

'3' in the formula is the centre cell value.

'0.5' is the increment value for each step.

Purpose Of The Workbook

It is a useful building block for anyone interested in constructing Gann Square but do not know how it can be done without hard coding formulas in a spreadsheet.

Anyone interested in additional functions added to the library please let me know.

Chart Reading Skill Matters

Gann square is not a tool that can work by itself. You need proper training in classic chart reading to be able to fully utilize the information you get from Gann Square. To upgrade your chart reading skill, I suggest you start with my book Art of Chart Reading available at Amazon.

This tutorial will show you how to construct a Square of Nine Roadmap Chart from a regular price chart created in Excel You could also use a chart printed out from Yahoo or Big Charts or any other online service or charting program. This example uses Hourly Data (65 minutes actually) of the S&P 500. Hourly charts are good to practice with because conditions change quickly and you get many opportunities to experiment. We will assume that you already know how to create a stock chart in Excel. This is what the plain-jane stock chart looks like. We used high-low-close bars but if the chart doesn't get too crowded candles also work nicely.

When you scroll around on your Excel chart while working in the program itself, the value of the data point under the mouse cursor will appear in a little window. In this case we want to start the Roadmap from the low at 1166.31, which occurred on January 28, 2005 at the 11:40 bar.

From the Square Root Theory you learned that we can move 360 degrees around the Square of Nine by adding 2 to the square root of a number and squaring the resulting sum. In the example on the Roadmap Theory page we moved from 15 to 34, which is directly above 15 on the Square of Nine, by taking the square root of 15 (3.87), adding 2 (5.87) and squaring that sum (34.49). A paper version of the Square of Nine uses rounded numbers and 34.49 was rounded down to 34. Just so we have some common language to work with we call the '2' we added to the square root of 15 a Factor of 2. We understand that Factor is a mathematical term of art, and in that sense it's being misused, but most people reading this are not mathematicians and will not be greatly offended.

If a Factor of 2 represents 360 degrees or a full circle move, then 45 degrees or 1/8 circle will be represented by a Factor of .25 (360/8 = 45) and (2/8 = .25). Many, if not most, major stock market moves end on a multiple of 90 degrees. We're working with Hourly data and because 90 degrees may be too granular we use 45 degrees which is an exact division of 90 degrees for our Hourly Roadmap Charts. If you want to work with Daily or Weekly data then we suggest using 90 or 180 degree Factors, which are .5 and 1 respectively, (360/4 = 90 and 2/4 = .5) and (360/2 = 180 and 2/2 = 1). In practice, you can use any Factor you want and odds are that at least one will fit your trending data points exactly, even though it would have allowed you to draw the Roadmap Chart before the fact. Gann said that 90 degrees is very important for the stock market, and our own experience with the major stock market indexes confirms that, but there very well could be other very important factors for different stock market indexes, currencies, commodities or individual stocks. There is probably much more that remains unknown and undiscovered about the application of the Square of Nine than we can imagine, so experimentation is encouraged for those willing to do the work.

Now that we've decided to use a Factor of .250 (representing 45 degrees) we can begin to actually construct the chart. We'll use our starting point, the low at 1166.31, to calculate price levels for the horizontal lines. Here's the math:

(SQRT(1166.31) + .250) ^2 = 1183.45

(SQRT(1166.31) + .500) ^2 = 1200.71

(SQRT(1166.31) + .750) ^2 = 1218.10

Eyeball these price levels on your Excel chart and draw in a horizontal line at each price level. The chart will look like this.

Let's add the vertical time lines. Use the same low price of 1166.31. Find the square root (34.15) and round it to the next whole number (34). To complete the vertical time lines all that must be done is draw the lines in 34 bar increments from the starting point of the bar at 1166.31. Draw as many vertical time lines as will fit on the chart. The chart will look like this.

You're almost there. Add one more vertical line at the starting point price bar at the low of 1166.31 and draw diagonal lines through the intersections of the horizontal and vertical lines. The chart-in-progress will show you graphically what and where to connect things better then any verbal description.

Gann Square Of Nine Chart

That's all there is to it! You've created a Roadmap Chart. Once you get a feel for the rhythm of the tickers you trade the most, and the Factor that best represents that rhythm, you can create a new Roadmap Chart within minutes of a suspected pivot point. The Roadmap Chart is self-defining. If the trend has changed then the new Roadmap Chart will contain the future price bars for the life of the trend. If the suspected pivot point bombs-out you will know immediately when price bars bust the channels.

One obvious thing we did not mention is that if you're drawing a new Roadmap from a high then you would subtract, not add, the Factor from the square root of the starting price. The vertical line, time calculation, would be the same. Depending on the quote price of your ticker you may get weird results in your early attempts to create a new chart. You will have to experiment, but generally, you want to convert prices into three significant digits (i.e three numbers to the left of the decimal point) to get proportional results. Use a multiple of 10 (multiply or divide by 1/10, 10, 100, 1000, etc.) to convert your prices to three significant digits before calculating the price levels of the horizontal lines. You do not have to change the price scale of the chart, only the price to use when calculating the horizontal price lines. We use natural S&P prices, which currently are four significant digits, for our charts and everything works just fine so like most everything else about the Square of Nine there are no absolutes, and the value you receive is directionally proportional to the effort you make..

Gann Square Of Nine Calculator

We think the Roadmap Chart is a great trading tool without learning another thing about the Square of Nine. How many tools allow you to define a trend ahead of time? Ideally, price will move across the width of the channels before ending the trend. Reactions that do not end the trend often occur near the midpoint of the time lines or the midpoint of the major horizontal price lines. There's no substitute for experience in learning the natural rhythm of your tickers and how to use the Roadmap Charts to your advantage. Although the Roadmap Chart is based on Square of Nine principles, and as elegant as we believe the Roadmap Chart to be, it does not square price and time. To do that you must first convert both price and time to degrees of a circle and measure them from defined starting points. The Roadmap Chart does not do that.

Gann Square Of Nine Chart Calculator