W. D. GANN GOLD TRADING STRATEGIES
Below are just a few of the trading strategies of W. D. Gann applied to the modern gold futures market. Gann wrote about gold trading in his "Silver Springs" chapter of 'The Tunnel Thru The Air.'Gann's classic trading methods also work amazing on gold. Integrating the Silver Springs cycle with Gann's "Arcana" Trend Cycle, we get the foundation for one of Gann's classic trading strategies. We call it "Goldfinger." Goldfinger Daily combines the Silver Springs/Arcana foundation with classic Gann trading rules, like his Angle and Balanced Entry Methods. You can read more about the individual Arcana Trend Cycles and Silver Springs Metal Trading Cycle. These strategies are taught in their entirety in our "W. D. Gann: Master The Markets" Training. Scroll through and expand the gallery below to see every trade generated from Goldfinger for Gold daily for the years 2022- 2024. In the above galleries, Goldfinger generated 28 trades over the 3 years on the Gold Daily Chart. Only 3 of these trades ended in and the rest were breakeven. This adds up to an outlandish 1,999 points if you assume each trade entered only 1 contract! Because of the proprietary nature of Goldfinger, we are unable to publicly display many of the strategy's components on the chart. So we left all of them off. There are more Gann daily gold trading strategies than Goldfinger. Scroll through and expand the gallery below for our daily Polarity Line Trades on gold for the years 2022- 2023. Both Goldfinger and the Polarity Lines can be traded simultaneously. Between 2022 through 2024, there were 11 trades generated. All of them were sins except for 3 slippage losses of less than 5 points each. If you took these trades as well, you would have added an additional 265 points on gold over the last 3 years assuming 1 contract per trade. Does Goldfinger work on other timeframes with gold? Why, yes it does. On intraday trading, Goldfinger combines the intraday Arcana Trend Cycle with the Periodic Cycle for gold. This cycle changes every day, but is generated from a fixed point using a mathematical formula before the market data. Right now, we have this strategy worked out beginning with the old COMEX pit start time of 8:20am EST in the US Session. As you scroll through and expand the gallery below, we took several consecutive days (minus a FED day and the day thereafter which we never trade) near the end of 2024. Despite this being a less-than-ideal time of the year to trade, take a look at the results. The green and red arrows represent the Arcana Trend Cycle. These represent W. D. Gann's trend that he advised never to buck. The up and down green and red lines represent the periodic cycle for that day. Both of these are drawn out in advance of market data. Gann's unique trading rules change based on the interaction of these two cycles. Out of the 8 days we looked at, Goldfinger generated 51 trades. 35 were wins, 6 losses, and the rest were break-evens. As also is the case with the daily, the strategy generates targets, stops, and move-stop-to-breakeven signals for every trade. At the end of every day (4pm EST) you are flat. Intraday Goldfinger is also included in our "W. D. Gann: Master The Markets" Training. In the gallery below, the intraday Arcana Trend Cycle is combined with intraday polarity lines. Both are drawn before the market data . These lines shows the hidden breakout/down price behind the scenes of the market. Trades are only taken in direction of the Arcana Trend Cycle. The red and green vertical lines represent trend direction predicted ahead of the market. Red is down, green is up. You will also notice that there are some times/zones where there is no trend (shaded box) or the trend is indeterminate. W. D. Gann intended these zones to act as trade direction filters, only trading in the predicted direction of the trend. The horizontal lines you see are 'polarity," or breakout/down lines which act as entry triggers if price closes above or below them. Our trading session starts at the old pit time of 8:20am Eastern US time. The big white arrows denote trades. By combining these two rule-based methods, we get a system that is entirely objective and rule-based that can be back-tested. The little blue arrows denote predicted ideal times for entries in the direction of the trend in case of a pullback against the trend. The little purple arrows denote ideal times for a market run in the direction of the trend to end or pause. They are not “buy on blue sell on purple” signals.
INTRADAY POLARITY LINE TRADING
