THE UNICORN: GANN-BASED MARKET MAKER ALGORITHM
In a letter to his parents dated December 1908, W. D. Gann wrote about a "discovery" relating to the US Stock Market that would make himself and his whole family rich. Gann went on to say that this discovery was proven with market data, and gained approval by the wealthiest men of his time.
After decades of professional market experience and experimenting with Gann's trading methods, it became clear that Gann's methods form the foundation of the main algorithms used by the largest market makers driving intraday SP 500 movements. Each day it changes according to a formula- a very old formula.
This ‘Unicorn’ is based mainly on math, using harmonics of a very old formula Gann developed. Modern machine learning is unable to discover it using the current collective data corpus and neural network. Since this algorithm appears to lead the market and track the market makers, it doesn't really conform very well to traditional technical analysis.
The equity curve to the right shows the full Unicorn intraday sequence back-testing on the ES futures using 1 contract per trade on a $30,000 account from January 2023 through March 2026. The account grew by nearly 21 times to over $625,000! Testing includes subtracting slippage.
For obvious reasons we are unable to post pictures or times and dates of trades. The equity curve above represents the Unicorn trades as a retail system, with all positions flat by day's end and no overnight risk. For market makers who've been left out of this secret, Unicorn is even more effective at predicting where and when to widen or tighten spreads, and overweight and underweight.
Unicorn can be calculated using calculator or spreadsheet and implemented on most any market software or data platform in under 2 minutes. Even easier, Unicorn comes with spreadsheet and semi-automation in Esignal or Tradingview.
While the Unicorn appears to precisely track the main algo that market makers use, it may not fit everyone's personality, trading mandates, or risk profile. Unicorn appears to be the design of those profiting from it. Back-testing and equity curve results for Unicorn or any other market strategy should not be considered "typical." Intraday trading is not for everyone.
The Unicorn will be including only in the $9,300 option of our "W. D. GANN: MASTER THE MARKETS"