TRADING W. D. GANN'S TOKYO J-1 CYCLE
W. D. Gann is known for his cycles. The cycle he described in 'The Tunnel Thru The Air' as the "Tokyo J-1" is probably the most renown.
The Tokyo J-1 Cycle is a cycle of progression, as opposed to a cycle of repetition. That means that this cycle is drawn out in advance from a fixed starting point using Gann's Law of Vibration. One does not have to go back over certain past turns and try to average it out. Also, the sequence is always UP/DOWN alternating and does not vary- even if a cycle leg fails. Gann's Tokyo J-1 cycle is taught in its entirety in our "W. D. GANN: MASTER THE MARKETS" Training.
Scroll through the gallery below for the last 9 years of this cycle. Cycle legs were drawn in advance of the market. A red length denotes that the market energy was DOWN during this leg; green denotes UP energy. If a cycle leg is colored yellow, that means that the market failed to close in the predicted direction at the end of that leg as compared to the beginning. Gann didn't trade this cycle as a buy-and-hold, but that comparison is the simplest scientific way to test it.
Notice that the rate of failure among cycle legs is about 14% at most during any given year. That tells us this cycle is very reliable. Gann never traded his cycles as "buy and holds," but used the direction of the cycle leg as a long/short filter. He also had a strategy where he used the beginning of a new cycle leg as an entry trigger.
It is important to recognize that W. D. Gann never intended his cycles to be traded as a standalone. Price came from other methods. Most frequently, Gann combined this cycle with the Arcana trend prediction method and different rules for entry, exits, and money management. He called these trading rules "methods of operation."
You can learn the cycle perfectly, but in order to profit you must learn Gann's rules for trading the cycle. Gann had 3 main systems for entry, exit, and money management on the Tokyo J-1 cycle. These are cycle leg triggers, angle methods, and something he called 'balancing a stock.'
In the gallery below we see the results from the last 3 years for using cycle legs as triggers and integrating the Arcana trend as a long/short filter.
In the next gallery below we take a look at trades triggered by combining the Tokyo J-1 and Arcana with Gann's angle method of entry.
Finally, in the graph below we add trades from 2023 that were triggered using Gann's entry technique from his section on "balancing a stock" from 'The Truth of The Stock Tape.'
Gann's Intraday Mechanical Method is taught in its entirety in our "W. D. GANN: MASTER THE MARKETS" Training.
UPCOMING EVENTS...
EMPIRE NEWSLETTER 2025 FORECAST
March 2025Our 2025 edition of the Empire Newsletter is released, bringing you the entire year's W. D. Gann Annual Forecast....Master The Markets
JANUARY 2025Taken by traders and analysists from some of the largest financial houses across the globe, “Master The Markets” covers the entire catalogue of W. D. Gann’s original technical analysis and trading methods.
EMPIRE NEWSLETTER 2025 FORECAST
March 2025Master The Markets
JANUARY 2025DISCLAIMER
Futures, Equities, and Options trading/investing has large potential rewards, but also large potential risk and is not suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in the equities, futures and options markets. Do not trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures, stocks or options on the same. No representation is being made that any account will or is likely to achieve profits or losses similar to those W. D. Gann claimed or anything shown on this website. The past performance of any trading method, strategy, or technical analysis technique, system or methodology is not necessarily indicative of future results. No one associated with this seminar or Tradingwdgann.com are Registered Investment Advisors, Commodity Trading Advisors, or certified, registered, affiliated or approved in in any way with either the National Futures Association, Securities and Exchange Commission, Commodities Futures Trading Commission, or any other organization.
The “Master The Markets” course exegetes and replicates, as accurately as possible, the original technical analysis, strategies, and market techniques of the late W. D. Gann; and not necessarily the exact trading methods of course presenter or any other individual or entity. You may not be able to duplicate the results of W. D. Gann for many reasons, including, but not limited to, skill of the individual and the changes in financial markets since Gann wrote about them. Recipients of this course receive hypothetical, back–tested data and not actual trading results. Back-tested results should never be interpreted as "typical" results. Technical analysis, indicators, strategies, and market techniques, including any descriptions or evaluations of their performance, included in this course and displayed on this website, are described and evaluated based on hypothetical back-testing, and not the actual trades or earnings of any individual or entity. Includes far more applications to market instruments and time frames than the presenter can possibly implement. Author & presenter has sources of income in addition to his work with financial markets. In any and all descriptions of this course, or any information displayed on this website, no individual or entity, including past clients or course presenter, “hold themselves out” as achieving any level of success trading or amassing any level of wealth or income derived from any course offered on this website or any or all of the information displayed on this website.
“Master The Markets” teaches the individual technical analysis, market methods, strategies, and indicators we believe W. D. Gann used in financial markets, occasionally demonstrated by showing different ways Gann combined them to work together. Neither These combinations, nor anything displayed on this website or offered in any course on this website constitute a “futures trading system” or a “stock trading system.” Nothing shown or described on this website should be taken as any individual or entity claiming, inferring, or insinuating, investment advice in any way. No one associated with course or this website accurately verifies or tracks results of past clients.
CFTC RULE 4.41HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.