William Delbert Gann is a considerable financial markets analyst who is among the world’s most famous traders.William Delbert Gann was born on June 6, 1878, as the son of a farmer, in Lufkin County, Texas. Gann, who lived between 1878-1955, gained world fame with the analyzes he made. William owes his knowledge of commodity markets to the cotton farm where he spent his childhood.
Gann’s curiosity about how cotton pricing is formed also increased his interest in commodity markets, and at the age of 24 he went to New York and started working in a brokerage compony. Apart from the stock markets, most of his predictions on social events were effective, and his reputation spread in a short time. Especially his predictions before the 1929 World Economic Depression and his prediction of the US presidential election made him very renowned.
Starting his business life in a simple brokerage compony, he soon established his own brokerage house, W. D. Gann & Company. Many geometric, astrological and mathematical strategies that Gann benefited from have been implemented in financial markets for about 100 years. The difference between William and other analysts is his predictions are statistically quite consistent.
After retiring, Gann returned to Florida and founded a consulting company, where he began to explain his theories. The most important work of William Delbert Gann, who became one of the popular names of Wall Street with the books he wrote along with the trainings he gave, is the Gann theory, which he named after himself. While maintaining its reputation thanks to this theory, which still attracts the attention of many people today, it has become one of the respected names with its self-cultivation. W.D. Gann died on June 14, 1955, as a good market analyst and researcher.
Gann Theory (27 Trading Concepts)
- Never risk more than 10% of your fund in a single day.
- Never buy and sell more than your fund.
- Always have a breakpoint.
- Never let your profit turn into a loss.
- Stay away from the market in cases where you are unsure of the direction and strength of the trend.
- Exit the market as soon as you enter a loss, or do not enter more amounts into the market when you are at a loss.
- Act on active markets or stocks.
- Distribute your risk evenly both on the markets and on stocks.
- Do not close your position unless you have a good reason.
- Keep your earnings in a separate account.
- Never aim to profit by excessive ambition.
- Never leave the market because you are distracted or enter the market because you are tired of waiting.
- Prefer to buy from active rather than passively.
- Do not cut costs.
- Do not allow big losses for small gains.
- Avoid entering and exiting the market too often.
- Be liable to make money in both directions.
- Never trade due to the fact that the stock is expensive or cheap.
- Feel free to buy the stock gradually when you see crossing the resistance levels.
- Buy stocks that are in a strong trend gradually.
- Do not make a change of position without a good reason.
- Do not try to save the position you are loosing, stop loosing.
- Do not trade immediately after long-term gains and losses.
- Don’t be a top and bottom hunter.
- Do not pay attention to the advice of people whose knowledge is not reliable.
- After your first loss, reduce your position and certainly do not increase it.
- Do not enter and exit the market at the wrong time, or enter and exit at the right time. That means doubling the fault.