Square of Nine

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Square of Nine

Gann's Square of Nine is different to the other Squares. It is one of his master calculators.

The underlying concept of the Square of Nine is a spiral square, with 1 starting at the middle of the square and then numbers spiraling out around it. It is also know as a Square Root Calculator. The Squares of Even numbers run up one diagonal, the square of odd numbers down the opposite diagonal. Gann believed in the power of numbers.

The Square of Nine software uses the mathematics that underlie Gann's Square of Nine Calculator to calculate and identify price pressure points. Targets on the square of nine are determined in degrees. The pressure point on the opposite side of the Square of Nine is known as the 180 price target. One full revolution on the Square of Nine gives you the 360 degree target.

Position and Edit

Single left mouse-click the low (for long markets) or high (for short markets) from which you wish to project pressure points. The drag the cursor in the direction that you expect the market to move.

From the initial price level the software will automatically calculate price targets based on the key pressure points on the Gann Emblem:

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The price target levels displayed by default for the Square of Nine tool represent the important degree intervals found on the classic Gann Emblem (i.e. the 45, 90, 135, 180, 225, 270, 315 and 360 degree targets). You can tailor the displayed levels to suit your personal needs and include the other available levels (120, 144, 216 and 240).

It is possible to manually edit the degree levels and any level can be turned off in the Square of Nine Properties dialog box.

User Settings

Other settings in the Square of Nine Properties dialog box include the following:

Start Date / Start Value

Users can manually adjust the price of the high or low from which the tool calculates future resistance levels or price targets. It is important to ensure this price is accurate. The start date is not as critical as the starting value.

End Date / End Value

Alter these values to extend to higher or lower prices as required to tune up the displayed price targets.

Adjust Decimal Place

drawtool_squarof9labelposi.pngFor markets that trade in low figures, such as certain stocks, currencies, or Treasury bonds, you may need to adjust the position of the decimal point used to set the price of your starting point to ensure you can display Square of Nine pressure point levels on your chart.

For example, the Swiss Franc contract requires Square of Nine price targets for lows on the order of 0.7600. To have the price targets display at these interval, it is necessary to move the decimal point 3 places to the right. Use the Adjust Decimal Place control to make this setting.

By moving the decimal point 3 places to the right, you are treating the low as 760.0, which will provide you with relevant price targets, unlike using 0.7600. Likewise, you would move the decimal place to the left on markets that are quoted in high figures, such as the Nikkei Futures contract, which may be trading around 15,000.

Location of Labels

Use this control to position the labels Left, Right or Center.

Extend Left/Right

Extend all the lines to the right or left, or both.

Locked

Once the position and display is satisfactory, check the Locked check-box to preserve the tool output.

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