Examples of Gann’s Analysis on the Diagonal Axis: Planetary Lines

The other way you will see retrograde motion represented in a Gann chart is when planetary lines are plotted as channels. Figure 9.8 is a daily chart of Corn futures. The squiggly lines are typical of diagonal channels derived from inner planets, or the five planets closest to the Sun. The outer planets create orbits with retrograde motion as well, but the planets move so slowly from day to day from Earth’s view that the lines change very slowly.

Figure 9.8 Aerodynamic Investments Inc., www.aeroinvest.com
Source: Market Trader Gold, Alphee Lavoie and Sergey Tarasov

How do you plot a planet’s orbital movement on a chart? It is very easy to do; however, believing the market has any relationship to a channel line derived from a planet is a tougher challenge at first to accept. If you are standing in the middle of the New York Stock Exchange on market close, and take a snapshot to freeze the location of all the planets at that moment, each planet will have a position at a specified degree within a circle. Within the 360 degrees, let’s say to view Venus you need to turn 47 degrees. Now add 360 to 47 until the value enters the range of prices on the chart. That works for the DJIA for the moment, but Figure 9.8 is trading in a range where 360 cannot be added to 47 without exceeding the price range of Corn. Therefore, factors are involved.