Индикатор Форекс Gann Box

Gann Time Clusters Indicator

This indicator is based on W. D. Gann's Square of 9 method for the time axis. It uses past market reversal points and applies the mathematical formula for Gann's Square of 9 and then makes projections into the future. A date/time where future projections line up is called a 'time cluster'. These time clusters are drawn as vertical lines on the right side of the chart where the market has not advanced to yet. A time cluster will result in a market reversal point (ex., bottom or top) forming at this exact time. The lines are drawn well in advance which makes this a unique indicator.

Benefits

• The indicator does not repaint, move, or delete lines! It also does not lag because the lines are drawn many bars in advance.
• Only 3 adjustable settings. So it is easy to use and understand.
  
• It can be used for Forex trading and possibly for binary options trading.
• There is no need to constantly watch the chart, since all lines are drawn ahead of time and the future times are clearly marked.
• It is easy to trade with. Since market reversals will occur, simply trade the reverse of whatever direction the market was moving. For example, if the market was moving down then place a buy order, and vice versa.

Settings

• Min_Cluster_Number - this is the minimum number of projections required to be considered as a time cluster. So this controls the reliability and the number of future lines. The higher the number, the more reliable the future lines will be but the fewer lines will be drawn. And vice versa for a lower setting.
• Lookback_Candles - this controls the number of past candles that the indicator will consider. The higher the number, the more reversal points will be used and greater the chance that future lines will be drawn, but the slower the indicator will be, and vice versa for a lower setting.
• Line_Color - this setting controls the color of the vertical lines drawn by the indicator.

Notes

• The higher the number set for 'Min_Cluster_Number', the better. The lower the 'Lookback_Candles', the better. If you see that too many lines are drawn on the chart, adjust the settings to be stricter until only a few lines are drawn. These will be stronger time clusters then. So you should balance the 2 settings with this tip in mind.
• Updates will be made based on customer feedback. Feel free to comment or send recommendations. 
• This indicator will work on any MT4 broker and chart.
• The examples below are taken from real live charts.

There are several methods of finding support and resistance. Some traders use technical indicators that look like a line or a histogram on charts. Others use geometry.

That’s right &#; geometrical shapes can be used to trade on charts to identify support and resistance. 

One example of it is the Gann Box. If you&#;re wondering what is Gann box, it brings together geometry and the relationship between time and price to determine where a financial security may be headed. 

WD Gann, a renowned market analyst, developed the tool for technical analysis along with Gann Fan. Yes, it’s geometric. It’s also versatile. But what is the Gann Box really? Read on to find out.

What is Gann Box?

The Gann Box is a technical analysis tool used for analyzing price movements and forecasting potential price levels in financial markets.

The Gann Box consists of a square or rectangle that is divided into equal partitions for price and time. 

The price levels are drawn vertically, while the time levels are drawn horizontally.

These partitions are divided equally to account for time and price, and the scale ratio between price and time is crucial for accurate analysis. 

The following image shows what a Gann Box looks like on a chart. 

To determine the scale ratio for a specific market, you can calculate the variance between two primary points, such as the top-to-top or bottom-to-bottom of a market movement. The question is, what does this allow you to do.

For starters, you&#;ll be able to set the appropriate price and time levels based on your individual preferences and trading strategy.

One of the key features of the Gann Box is its ability to determine price and time levels across a wide range of markets, with or without angles. This makes it a versatile tool that can be applied to various financial instruments, including stocks, currencies, commodities, and more.

How to Use the Gann Box?

The Gann Box can be used alone or in conjunction with other technical analysis tools and techniques to identify potential investment opportunities and make trading decisions.

By identifying key price and time levels at various points in time, you as a trader can gain insights into potential trend reversals, support and resistance levels, and market turning points.

W.D. Gann believed that markets moved in cycles. Add angles to the mix and you have a recipe for trading wisely. More on that here:

1. Identifying and Measuring Cycles

The Gann Box is primarily used to identify and measure cycles in price movements.

You can use this tool to identify recurring patterns or cycles in the market, which can help you anticipate potential price movements in the future.

Using this understanding, you can make full use of prices and the cycles of the market.

2. Drawing Support and Resistance Levels

The Gann Box can be used to draw support and resistance levels on a chart. These levels can provide important insights into potential price reversals or areas of price congestion.

By identifying these key levels using the Gann Box, traders can make more accurate predictions about price movements and adjust their trading strategies accordingly.

3. Determining Price Targets

You could also use the Gann Box to determine price targets by drawing the Gann Box from significant price lows to highs, or vice versa.

This will help you find potential price targets based on the geometrical relationships within the box.

This can help traders set profit targets or determine potential exit points for their trades.

4. Assessing Market Strength and Weakness

Whether you&#;re a stock, commodity, or forex trader, you can use the Gann Box to assess the strength or weaknesses of a market.

By observing how price interacts with the lines drawn within the Gann Box, traders are known to gauge whether the market is in a strong uptrend, downtrend, or consolidating.

This information can be valuable in making trading decisions and managing risk.

5. Combining with Other Technical Analysis Tools

You can use the Gann Box can in conjunction with other technical analysis tools to confirm or validate trading signals.

Traders often combine the Gann Box with other tools such as trend lines, Fibonacci retracements, and moving averages to gain a more comprehensive view of the market and make more informed trading decisions

Types of Gann Box Strategies

The Gann Box is a popular technical analysis tool used by traders to develop trading strategies. It offers various ways to identify potential trading opportunities. 

1. Trend-following Strategy: This is a popular Gann box strategy. Traders can use the Gann Box to identify trends and enter trades in the direction of the trend when the price breaks above or below trendlines.

2. Reversals Strategy: The Gann Box can be used to spot potential price reversals or bounces when the price approaches the outer trendlines of the box, signalling a potential change in direction.

3. Support and Resistance Strategy: Traders can identify support and resistance levels within the Gann Box and use them as trading levels to enter or exit trades.

4. Confluence Strategy: The Gann Box can be used in conjunction with other technical tools, such as Fibonacci Retracements or trendlines, to identify confluence areas where multiple factors align, potentially increasing the probability of a successful trade.