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The Planetary Fan


Posted on Nov 1, 2009

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Does Financial Astrology Really
Work?

W.D. Gann charmed many students and traders with his brilliant insights into the harmonic Scott Barometer
laws that bind natural phenomena to the nancial markets uctuations.  As Known, the Gann
Planetary Midpoints & Price
Theory is based on two main pillars: Time and Price, linked together by a mathematical
relationship, graphically expressed through the “Gann Angles”. Lunar Cycles Perigee & Apogee

The Gann Angle is a series of straight lines of predetermined slant, with a growing rate of so An Astro Assessment
many price units for each time unit. The time unit could be one day, one week or one month,
depending on the time frame used in the chart.

What is most fascinating about the Theory is the time factor that is no longer exclusively The Authors
linked to the calendar year cycle, but also to that of the other Planets rotating around the
Sun.

You can enter any activity listed in the planetary context by Planetary Angles Task available in Alan Oliver
Market Analyst, by an algorithm processing the price into a planet, so that you can test the
Brad Stewart
aspects of conjunction, squaring, opposition, etcetera, between the price and other planets.
Christeen Skinner
We are talking about the following algorithm:
Je ery Ty
(Price / price factor / 360 – INT (Price / price factor / 360)) * 360 = longitudinal position in
degrees Lyn Summers

While the aspects between two planets (such as a conjunction) can identify a reversal time Mariano Larosa
signal, the Planetary Angle, representing the graphical summary of the conversion of a price
Olga Morales
into a planet, is helpful to identify support and resistance levels.

The main di erence between the Gann Angle and the Planetary Angle is related to the time
factor:  in the former, the Time is expressed as a fraction of the solar cycle (days, weeks,
months, depending on the frame used in the chart), whereas in the latter, the Time is
expressed in degrees.

An example can explain the di erence between the two angles as follows:

On a daily chart  a Gann angle, with price factor equal to 1 per day, will have a rise of 360
points after 360 trading days, while a Jupiter’s Helio Planetary Angle will take about 12 years
to rise 360 points, because this is the necessary time it will make a complete revolution circle
around the Sun. From this example we can say that Gann Angles are nothing more than an
estimation of Solar Angles.

Let’s have a look at an example of practical application of the Planetary Angles:

In Figure 1, the rising line is a heliocentric Mars Angle rising of 1/64 each degree longitude.

Between the 25th till the 28th of August, Generali Ass. had an average price of 17.70.
Adopting a price factor of 1/64 and applying the algorithm of transforming a planet into a
price, we get:

17.70 / 0.015625 / 360 = 3.14666

Removing the integer part and multiplying the result by 360 ° we get:

(3,14666-3) * 360 = 52.8°

The result means that while the planet “Generali !ss” is pricing 17.70, it is placed at 52.8° of
the Zodiac, in the exact position where Planet Mars is travelling in those days. As both are in
the same position, then we can say that they are in conjunction, and consequently the price
will tend to diverge from that harmonic equilibrium and cause a retracement.

After watching the usefulness of the Planetary Angles in the previous example, we could
imagine how useful it would be drawing these angles from a high or low price and with
di erent price scales, as if they were the classic Gann Angles. It is at that point that the
Planetary Fan Tool, introduced by the last upgrade of Market Analyst, comes to help, and it is
nothing but an evolution of both Planetary Angles Task and Gann Angles Tools.

The great advantage of the Planetary Fan compared to Gann Angles is that their position,
concerning the price, does not change in spite of the time frame used, because the time is
related to the position in degrees of the planet employed, which does not change whether
you are using a daily, weekly or monthly chart.

The following example is about a Planetary Fan application concerning the COMIT Index
representing a Global Index of the Italian Stock Exchange.

In the monthly chart in Figure 2, we can see how the Planetary Fans 2×1, 1×1, 1×2 just seem
classic Gann one degree of rotation around the Sun. Angles, but in fact they are built
depending on the location expressed in heliocentric longitude degrees of the planet Jupiter.
We used a price factor of 8 for the 1×1 angle, meaning that this angle has to increase 8 points
per Jupiter’s degree, which takes about 11 days to move one degree of rotation around the
Sun.

We placed these angles on the 1992 low, on the 2007 high and on the 2009 low: and what
immediately shows is the sometimes extraordinary accuracy, with which the price reacts with
these angles in a time frame of almost twenty years.

In Figure 3, we can see the same Chart but with a weekly time frame. As mentioned, the great
advantage of using the Planetary Angles compared to Gann Angles is that the support and
resistance levels are always in the same points regardless of the time frame used, as for each
date, the planet position is univocal and unchangeable.

We can make the same observation on the daily Chart in Figure 4:

For this Index we used Planet Jupiter because the Italian Stock Market has proven to be in
sound relationship with it, over time.

It is clear that any activity listed that you want to use needs a speci c study to test the
reliability of each planet in order to apply the one which ts better.

Bio Latest Posts

Mariano Larosa
Professional Trader & Editor

Mariano La Rosa is one of the rst traders in the world forcerti ed


performance of managed portfolios. He acts as an expert trader in Futures
and Options collecting a series of successful results in the accurate
forecasting about the Dow Jones movements and about euro/dollar swaps, as
widely recognized by the nancial press and by Class CNBC television. Read
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