An Introduction to W.D. Gann's Time and Price Geometry

W.D. Gann was one of the most enigmatic and successful technical analysts of the early 20th century. By combining geometry, cycles, and mathematical ratios, he developed trading models that continue to fascinate analysts today. In this introductory guide, we look at the core principles of his approach.

The Relation of Time and Price

Gann's central premise was that price and time are interchangeable. When price and time square—meaning they meet at key geometric angles or intervals—a change in trend is highly likely. His famous 45-degree line (the 1x1 angle) represents a perfect balance where one unit of price equals one unit of time.

Geometric Angles (Gann Fans)

By drawing angles from major market highs and lows, traders can identify dynamic support and resistance lines. These include angles like 1x2 (two units of price per unit of time) and 2x1. When a trend breaks a major Gann angle, it typically falls to the next angle in the sequence.