Tag Archives: Gann

Jan 9 2012

Forecasting Corn

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2012 by Patrick Mikula All Rights Reserved

The picture below shows the daily corn chart using the symbol ZC. On this chart I have added the delta indicator. This indicator is based on the book Delta Phenomenon. The MarketWarrior software does not calculate the Delta count; it has a delta layout designer which allows users to work out their own count. Working out a Delta count usually takes 30 to 60 minutes.

The picture below shows my personal delta count that I developed for the corn market. This count has several high probability turning points. One of the high probability count numbers is #6. The #6 point is the next point that will occur. The #5 point just occurred on the first trading day of 2012 and the #6 point will occur in late January. We will be watching the corn market as it approaches this time period.

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Jan 8 2012

Forecasting British Petroleum Part #2

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2012 by Patrick Mikula All Rights Reserved

One of my favorite forecasting tools is the Horoscope Index. Unfortunately this MarketWarrior indicator often does not give a signal for long periods of time.

The chart below is the daily chart for British Petroleum (BP). This  Horoscope Index for BP has not given a change in trend signal for the past five months. There is now a change in trend signal being given for the middle of January 2012. This occurs when the Horoscope index moves above the upper boundary in the indicator. I have marked this with a vertical line and the letter A. After this forecast has worked itself out by early February 2012, I will post a forecast review and update.

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Jan 7 2012

Forecasting Daily S&P500 Index with Jupiter and Saturn Aspect

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2012 by Patrick Mikula All Rights Reserved

Here is the latest update for our most accurate forecasting method for the daily S&P500 index.

This is the custom Jupiter Saturn aspect. I will not review all the details of the custom aspect because we have posted the details before. You can read the previous posts discussing this method to learn more. The chart below shows the daily S&P500 and the custom Jupiter / Saturn aspect applied to the chart. This aspect forecasts a turning point approximately every 4.5 months. These forecast turning points usually turn out to be bottoms. This forecasting method has proven to be so accurate that traders who own MarketWarrior are reporting to us that they are using these forecast dates to add money to their retirement accounts. These forecast dates almost always allow MarketWarrior owners an opportunity to buy into a market bottom for their long-term buy and hold accounts.

On the chart below you can see the forecast bottoms at points A and B. If you own MarketWarrior you can check the next Jupiter Saturn aspect date. If you do not have the custom aspect indicator setup in your version of MarketWarrior email us and we will send you the indicator settings.

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Jan 6 2012

Forecasting S&P500 mini 20 minute chart

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2012 by Patrick Mikula All Rights Reserved

In this post I will discuss a forecast for S&P500 mini contract for June 6, 2012 on the 20 minute chart. In this forecast I will use the short term delta indicator. This is based on the technique in the book Delta Phenomenon. The delta count used here is my personal delta count which I developed. We do not sell delta counts but working out your own delta count for any market only takes about 30 to 60 minutes of research. My delta count for the 20 minute S&P500 mini has a #1 pivot between the green and red lines. This can be seen on the first chart below which shows a previous #1 point.

The second chart shows that a #1 point occurs on June 6. I have manually added a green box marking a time window where I would expect a change in trend to occur on this 20 minute chart. I will review this forecast in a few days.

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Jan 5 2012

Forecasting Silver With the Swing Projector

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2012 by Patrick Mikula All Rights Reserved

This post will discuss a forecast for the 60 minute silver chart for January 6, 2012. The picture below shows the MarketWarrior indicator named Swing Projector. This indicator projects into the future a series of swing tops and bottoms. The small circle with a t or a b mark small swing top and bottom projections. The triangles with a capital T and B represent the larger swing turning point projections. The yellow lines are the projected price levels. The picture below shows the mini silver futures contract symbol YIH2. I have manually added a red zig-zag arrow that shows the expected path of the silver price for June 6. The silver market should make a top early in the day and then should make a zig-zag move down to the point marked by the large triangle with a B inside. I expect the bottom to be made on one of the price levels identified by the yellow lines. I would like to see these tops and bottoms lines up with overbought and oversold momentum. We will review this forecast in a few days.

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Dec 16 2011

Forecasting the S&P500 with the MarketWarrior Dewey Cycle Indicator

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2011 by Patrick Mikula All Rights Reserved

I would like to discuss one of the most over looked forecasting indicators in MarketWarrior. This is the Dewey Cycle indicator. This is a simple cycle indicator based on the work of Edward Dewey. This indicator can set up to 6 cycles and and create a composite cycle if desired. In the first picture, I have added the Dewey cycle indicator to the daily S&P500. I have set the cycle length based on the low to low distance from the market at point A and the bottom at point B. This low to low distance defines the short term cycle in red that I will use.

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The next picture shows the second cycle that I am using with the S&P500 daily chart. This is a medium length cycle and is in green. This cycle is set up based on the low to high length between the bottom at point A and the top at point B.

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The third chart below shows the cycles after the set up dates. I have manually added the arrows where these simple cycles lined up with the Change In Trend (CIT) points on the S&P500 daily chart. You can see these simple cycles did very well to line up with market CIT points.

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The next chart shows the future space on the S&P500 chart. This is the area that shows the cycles out to June 2012. This indicator is very easy to use. You only need to watch the market approach each cycle top and bottom and watch for a market CIT point. If the market makes a CIT near the cycle turning point, then you can make a trade and try to capture some of the ensuing market move.

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The final two charts below show how to use the composite feature in the MarketWarrior Dewey cycle indicator. On the next chart I have added a 3rd cycle. This is an extra long cycle and is drawn as a blue line. Now we have three cycles. A short red cycle, a long green cycle and a extra long blue cycle.

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On the final chart below I have selected the composite option in the indicator and now the indicator is drawing as a composite cycle line. This composite cycle is shown out through June 2012 for the S&P500 daily chart.

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Dec 15 2011

eBook Upgrade Underway

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2011 by Patrick Mikula All Rights Reserved

.

Our current set of eBooks were created using the eBookPro program. The eBookPro software is now being discontinued. This decision is beyond our control. So we are currently in the process of reformatting and upgrading our eBooks to a new format. The new ebooks will initially be available for the Barnes & Noble NOOK. MarketWarrior owners will also have the options to get the eBooks as a standalone .exe for Windows. Later the eBooks will be made available through Amazon.com for the Kindle.

Thank You for your patience.

Square of Nine Book tn_0-9650518-3-8.jpg tn_v1v2cover.jpg tn_v1v2cover.jpg 

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Dec 14 2011

Forecasting The S&P500 With The Square of Nine

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2011 by Patrick Mikula All Rights Reserved

In this blog posting I am going to be discussing the Square of Nine method that is presented in Chapter 5  of the book The Definitive Guide to Forecasting Using W.D.Gann’s Square of  Nine. This method will use time cycles on the Square of Nine to forecast the  daily S&P500. The first step in using this method is to select the date of a major top or bottom in the past which will be used to start the Square of Nine. In this example I am using the S&P500 so I have chosen the top date from 2000, March 24. This was the major bull market top which ended the century long super-cycle. The first picture below shows a Square of Nine in MarketWarrior with the starting date set to 2000/March/24. I have circled this in red and labeled it A. The Square of Nine charts in this example are compressed because the placement of dates in the Square of Nine cells makes the square very large. The starting value on the Square of Nine is always placed outside the square and not in cell one. The starting value represents the zero point and the value in cell one is the starting value plus one.

Tip For selecting the starting date:
1) A major long-term top or bottom usually works best to start the Square of Nine. You can also use an incorporation date for a stock if you know it.

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Step 2 for this method is the placement of the angle overlay on the Square of Nine. The angle overlay has a zero degree line which represents the starting point of the overlay. In this example I have selected the S&P500 bottom from 2010/August/25. On the next Square of Nine I have circled the date “10/08/25″ and the red angle line is the zero degree angle of the overlay which cross through this date.

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Next lets see what this looks like on the S&P500 daily chart. The picture below is the daily chart for the S&P500 and the MarketWarrior indicator named “Sq9Chapter 5″ has been added to this chart. The vertical red line labeled B is the Square of Nine zero degree angle. This line is aligned to the date 2010/08/25 where the market bottom occurred. You should look at this price chart and the previous Square of Nine chart and understand that they show the same thing.

Tips for selecting the overlay starting point:
A major Change in Trend (CIT) or possibly a CIT that is one-back or one-foreword of a major CIT usually work the best for the overlay zero line. In the S&P500 example the major bottom occurred in July 2010 I am using the bottom that is one-foreword in August 2010.

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The third step to use this method is to select the overlay angles that line up with market tops and bottoms and will be used for forecasting. The MarketWarrior indicator seen on the chart below is drawing both the calendar days count and the trading days count. When selecting the overlay angles that will be displayed you are not trying to find an angle for every market tops and bottom. You are trying to locate overlay angles that have a high probability of success finding CIT. There will usually be 1 to 4 over lay angles that have a high correlation with CIT. In this example the 4 overlay angles 0 Degrees, 60 Degrees, 225 Degrees and 300 Degrees have a high correlation with CIT in the S&P500. I have manually drawn the blue zig-zag line and placed the overlay degree values above the top or bottom points of this zig-zag line. You can see that not every turn in the S&P500 is located with this method. Also I have included the next two forecast turning point dates. These are last (0Deg) bottom and (60Deg-300Deg ) top in the zig-zag line. By mousing over the points in the MarketWarrior chart I can see they are 2012 January 16 and 2012 February 27 respectively. These are high probability turning points in the S&P500 daily chart.

Tips for selecting the overlay angles:
1) The high probability angles often have two angles from the groups (45-90-135-225-270-315) or (60-120-240-300). In this S&P500 example 60 and 300 were used.
2) There is no automatic way to select these points. It should take about 30 minutes to do this after you go through the process a few times.

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It is important to work with the Square of Nine until you have an understanding of this method. But it is important to point out that it is much more difficult to see the correlation between the overlay angle dates and the market CIT points when working with the Square of Nine rather than the chart. In fact once you have an understanding of how this method works you will rarely need to use the Square of Nine but will use the chart indicator instead. On the chart below I have labeled the overlay angles that line up with my zig-zag line as C, D, E, F and G. I have added one picture below for each of these CIT that shows the CIT on the Square of Nine. In the Square of Nine pictures below I am showing the calendar days count. I do not show the pictures for the trading days count.

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The Square of Nine below shows CIT point C from the chart above. The Square of Nine in this example is showing the calendar days count. This turning point date fell close to the overlay 60 degree angle in cell 4008 and was 2011/March/15. This is circled in red on the Square of Nine.

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The Square of Nine below shows CIT point D from the chart above. The Square of Nine in this example is showing the calendar days count. This turning point date fell close to the overlay 0 degree angle in cell 4056 and was 2011/May/02. This is circled in red on the Square of Nine.

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The Square of Nine below shows CIT point E from the chart above. The Square of Nine in this example is showing the calendar days count. This turning point date fell close to the overlay 300 degree angle in cell 4101 and was 2011/June/16. This is circled in red on the Square of Nine.

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The Square of Nine below shows CIT point F from the chart above. The Square of Nine in this example is showing the calendar days count. This turning point date fell closest to the overlay 225 degree angle in cell 4136 and was 2011/July/21. This is circled in red on the Square of Nine.

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The Square of Nine below shows CIT point G from the chart above. The Square of Nine in this example is showing the calendar days count. This turning point date fell closest to the overlay 60 degree angle in cell 4273 and was 2011/December/05. This is circled in red on the Square of Nine.

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Oct 11 2011

Jupiter Planet Line and United Technology

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2011 by Patrick Mikula All Rights Reserved

This is the second discussion of the MarketWarrior indicator, AT_Planet Lines Top Bottom. This indicator draws a planet line beginning at a user selected starting point. In this posting I am again going to discuss how to set the slope of the line so it reflects the specific market with which you are working.

To customize the slope of the planet line, select a low to high or high to low swing that looks like an average swing.  Start from point A I have started a Jupiter line. The planet line runs from the low at A to the top at point B. The Jupiter line has been set to touch the exact low to high swing points using the Multiply setting of 1.4.

The picture below shows the daily chart for United Technology (UTX). Starting from point C, I have drawn a Jupiter planet line with the same slope of  1.4 as described above. On this chart the arrows and the letters D identify where there were turning points on this line. This shows that the same slope between A – B was also present between the points C – D.  My observation using this method is that the same slope can work for as long as a year locating Change In Trend (CIT) points before it has to be reset.

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Sep 30 2011

Using the Square of Nine with The Dow Jones Average

Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2011 by Patrick Mikula All Rights Reserved

This post uses the MarketWarrior software to discuss the Square of Nine and the Dow Jones Industrial Average (DJIA). In Chapter 3 of my book, The Definitive Guide to Forecasting Using W.D.Gann’s Square of Nine, I discuss one of the most common used Square of Nine methods. This method uses a starting price and then measures the distance around the Square of Nine. The expectation is that starting from a high or low price, future Change in Trend (CIT) will fall on major angle relationships such as one complete trip around the Square on Nine. The current DJIA chart provides us with a good example of this Square of Nine method.

On the chart below, I have added the Square of Nine Chapter 3 method to a daily chart of the DJIA. I have selected the recent top of 12928.5 from May 2, 2011 to be the starting point for the Square of Nine calculation. I have set the indicator to draw the price lines that represent one complete 360 degree trip around the Square of Nine. Each line on the chart below represents one full rotation on the square of nine. The bottom line at the price 10343.7 is -6 full rotations around the Square of Nine. The bottom on the DJIA occurred just above this line on Oct 4, 2011.

This shows the Square of Nine did a good job in defining the high to low price contraction in the DJIA between May 2 and Oct 4. 2011. Relationships, such as the one here in this example, can be found in almost every market on a regular basis.

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