1_ Time Factor and More , James Smithson

8/19/2019 1_ Time Factor and More , James Smithson

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James Smithson on WD GANNWhat follows is a very interesting article written by James Smithson. He posts it regularly tothe various Gann discussion groups and therefore ! cannot imagine why he would not want to

see it reposted here. James where ever you are if you want this page ta"en down #ust say so .!ts thought provo"ing reseach that !$H% should be read by all students of GANN&

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W.D. Gann's outstanding skill was his ability to produce accurate annual forecasts of the stock andcommodity markets. Gann stated that his forecasts were based on his secret "time factor". However,careful analysis of his novel entitled " he unnel hru he !ir" reveals Gann's belief in theoverwhelming importance of astrology. herefore astrology is the real basis of Gann's annualforecasts. ndeed, astrological analysis is implicit at key points in his books and courses.

#onse$uently it is concluded that if we wish to emulate Gann's outstanding forecasting skills wemust follow in his footsteps by firstly learning astrology and then apply this knowledge to the stockand commodity markets.

!N*(+D',*!+N

William D. Gann %& ( to &)**+ was an outstanding stock and commodities trader. He was also aprolific teacher of how to make speculation a profitable profession, writing some seven books andproducing two courses on trading the stock and commodity markets. However, Gann's superlativeskill was his ability to produce annual forecasts of the stock and commodity markets one year in

advance. !lthough he also sent his clients supplements, which corrected his annual forecasts whennecessary, the overall accuracy of these annual forecasts is highly impressive. or e-ample, Gann'sannual stockmarket forecast for &) ), which was published in /ovember &) , une$uivocallyforecast the "Great #rash" in the fall of &) ). However, Gann continued to produce and publishannual forecasts of the stock and commodity markets until shortly before his death in &)**.

*H- *!$- /A,*+( !S *H- 0-) *+ GANN1S /+(-,AS*S

Gann's forecasts of the stock and commodity markets were based on the "time factor", thedictionary definition of which is " he passage of time as a limitation on what can be achieved".Gann provided the following comments on the time factor0

" he most important thing of all is the ime factor, which use in making up my annual forecasts.t is not my ob1ect here to give away that secret, but am showing you plain enough and giving you

rules enough that, if you follow them, you will be able to make a success in the stock market"%" ruth 2f he 3tock ape", &) 4, page &&5+.

"6any people want to know what method use to determine future indications on the market. keep charts of the various active stocks and also a set of averages. 6y charts are different from thecharts of the average statistician because they are based on a discovery of my own. havediscovered a 7time' factor that enables me to determine important tops and bottoms one year ormore in advance. 6y annual forecasts on stocks, issued in December for ten years past, have provedremarkably correct. he cotton and grain markets can also be forecast by this 7time' factor, which

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enables me to tell when e-treme highs and lows will be made, as well as the minor moves" %" ruth2f he 3tock ape", &) 4, page 8& of appendi-+.

"*he time factor and time periods 234 are most important in determining a change in trend becausetime can over balance price, and when the time is up the volume of sales will increase and forceprices higher or lower" %"8* 9ears n Wall 3treet", &)8&, page &:+.

" ime is the most important factor of all and not until sufficient time has e-pired does any big movestart up or down. *he time factor will overbalance both space and volume . When time is up,space movement will start and large volume will begin, either up or down. !t the end of anyimportant movement ; monthly, weekly or daily ; ime must be allowed for accumulation ordistribution or for buying and selling to be completed" %"How o 6ake


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" have studied the Bible very carefully because believe it is the greatest scientific book everwritten. he laws are plainly laid down how to make a success. here is a time and a season foreverything and if a man does things according to the time, he will succeed" %page :8+.

"@obert had gone deeply into the Bible study in order to learn more about the great science of!strology" %page &4+.

"He read all the books he could get on astrology and began to understand why thing had happenedas they had" %page &*+.

*H- /(+N* ,+5-( +/ GANN1S N+5-6 -N*!*6-D *H- *'NN-6 *H(' *H- A!(

Gann's "valuable secret" that astrology really works is not confined to the content of " he unnelhru he !ir". ndeed, Gann subtly reveals his "valuable secret" on the cover of his book.

he illustration on the front cover of " he unnel hru he !ir" has three elements0

&. n the background is an interlocking compass and sets$uare, from which comes a tunnel.. n the foreground is a pair of scales, on one side of which is an hourglass and on the other

side is a price movement.4. 3tretching between the background and foreground is a series of interlocking s$uares.

he esoteric meaning behind this illustration on the front cover of the book is as follows0

he interlocking compass and sets$uare is the symbol of the reemasons %Gann himself was asenior reemason+. 6ore specifically, the compass %which is of course used for drawing circles+symbolises the circle of the heavens, or the astrological Codiac. he sets$uare %which is of courseused for drawing "s$uare" angles of ): degrees+ symbolises the most important angle between two

planets in astrology, which is ): degrees %or a "s$uare" aspect+. herefore the esoteric meaningbehind the reemasons' symbol is that the great circle of the heavens and the angles between theplanets %i.e. the science of astrology+ is of fundamental and eternal importance.

6oreover, according to occultism, astrological forces are vibrations which are transmitted to earthvia an infinite number of longitudinal waves through the ether. herefore the tunnel through the airin Gann's illustration %and indeed in the book's title+ symbolises this transmission of astrologicalforces from the heavens to the earth.

2n one side of the scales is an hourglass, which symbolises the time factor. 2n the other side of the

scales is a price movement. herefore this pair of scales symbolises the fact that, in his forecastingof the stock and commodity markets, Gann "weighed up" or e-amined the time factors %i.e. theastrological influences+ and their past, present and future impact on prices.

he series of interlocking s$uares symbolises the fact that, as Gann observed, the price action of aparticular stock or commodity unfolds according to a series of interlocking s$uares. his is thereason, according to Gann, that " very stock makes tops or bottoms on some e-act mathematicalpoint in proportion to some previous move" %3tockmarket #ourse+ and " ach top or bottom inwheat, or other commodities, comes out in accordance with an e-act mathematical proportion tosome other top or bottom" %"How o 6ake


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commodity markets is a valuable secret that had taken Gann much time and effort to master.. Gann firmly believed that his students should, like him, devote much time and hard work to

their studies on how to make speculation a profitable profession.4. Gann was well aware that the suggestion that the stock and commodity markets are

governed by astrological influences is an astounding new paradigm, which violates the

conventional wisdom and would therefore attract hostility.his is highlighted in the following $uotation0

E " t appears to be a fact that 6r Gann has developed an entirely new idea as to theprinciples governing stockmarket movements. He bases his operations on certain naturallaws which, though e-isting since the world began, have only in recent years beenanalysed with precision and added to the list of so>called modern discoveries. We haveasked 6r Gann for an outline of his work, and have secured some remarkable evidenceas to the results obtained therefrom. We submit this in full recognition of the fact that aman in Wall 3treet with a new idea an idea which violates the traditions and encouragesa scientific view of the proposition is not usually welcomed by the ma1ority, for thereason that he stimulates thought and research. hese activities said ma1ority abhors"%" icker A nvestment Digest" interview, December &):)+.

GANN AND AS*(+6+G)

3ince Gann's book " he unnel hru he !ir" reveals the "valuable secret" that astrology reallyworks and, by implication, astrology is the basis of Gann's stock and commodity market forecasts,one should look for evidence of the use of astrology by Gann in his other writings.

&. Gann's #hapters 2n orecasting n His 3tock !nd #ommodity 6arket #ourses

Gann produced and sold separate courses for trading the stock and commodity markets. hesecourses overlapped to some significant e-tent. 2ne chapter common to both courses is entitled " heBasis 2f 6y orecasting 6ethod0 Geometrical !ngles". !n important $uotation from this chapter isas follows0

"We use three figures in geometry, the circle, the s$uare and the triangle. We get the s$uare andtriangle points of a circle to determine points of time, price and space resistance. We use the circleof 45: degrees to measure time and price. here are 45: degrees in a circle, no matter how large orsmall the circle may be. ,ertain numbers of these degrees and angles are of vast importance andindicate when important tops and bottoms occur on stocks and commodities, as well as denoteimportant resistance levels. very movement in the market is the result of a natural law and of acause which e-ists long before the effect takes place and can be determined years in advance"%3tockmarket #ourse and #ommodities #ourse+.

he esoteric meaning behind this statement is as follows0

here are 45: degrees in any circle, the largest of which is the great circle of the heavens, or theCodiac. ,ertain points on this Codiac 2identified by a precise number of degrees4 are veryimportant because they relate to specific stocks and to specific commodity markets. #onse$uentlythe angles between a planet and these specific points on the Codiac and also the angles between twoplanets are very important because they signify tops and bottoms in the stock and commoditymarkets. wo important angles %or "aspects", as they are called in astrology+ are the s$uare %or ):


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degrees+ and the trine %or & : degrees+. Since the angles between a planet and a particular pointon the 9odiac or between two planets can be calculated years in advance , stock and commoditymarkets can in principle be forecast years in advance.

t is also important to note that the above $uotation by Gann was in the introduction to his chapteron forecasting by means of "Gann angles"= i.e. forecasting by using the & F &, F &, & F , etc.trendlines from important tops and bottoms on price charts. herefore the very importantimplication here is that %as the chapter title suggests+ the basis of Gann's forecasting method was notmerely the geometrical "Gann angles" drawn on a price chart, but %more fundamentally+ thegeometrical angles between planets and the Codiac %which is of course astrology+. n summarytherefore, Gann is suggesting that the angles between the planets and the 9odiac in the heavens%i.e. astrological influences+ cause the particular angle of a trendline on a price chart and thisis the real basis of his forecasting method.

: Gann1s -mphasis +n Anniversary Dates And Seasonal *endencies !n *he Stoc" And

,ommodity $ar"etsGann's consummate book on the stockmarket was "8* 9ears n Wall 3treet" %written in &)8)+ andhis consummate book on the commodity markets was "How o 6ake


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2which is of course astrology4.

4. Gann's @ecommendation o 3tudy !strological nfluences 2n he #ommodity 6arkets

!mongst Gann's surviving papers are his two "astrology letters". 6ore specifically, in anuary &)*8Gann wrote to one of his students recommending that he study the astrological influences on the

soybean market %" he longitude of the planets and the longitude of the average of the planetsdetermine the resistance levels as the price of soybeans moves around each cycle of :< cents perbushel"+= and in 6arch &)*8 he again wrote to his student recommending that he study theastrological influences on the coffee market %"By studying all of the %astrological+ data outlinedabove and applying it to coffee, you will be able to learn more about what causes the changes intrend"+.

Gann died in une &)** and therefore these astrology letters are some of his last teachings.However, it is notable that in these two short letters Gann does not reveal any clear and specificmethod of astrological forecasting of the commodity markets. nstead, Gann encouraged his student

to observe, e-periment and learn for himself how the angles between the planets and their anglesto specific points on the Codiac forecast the changes in price trends. ndeed, it appears that Gannhad for over fifty years kept secret his method of market forecasting and at the age of (5 he was notsimply going to reveal it to a student. /evertheless Gann was continuing his lifelong practice ofhelping his students to make speculation a profitable profession by giving them guidance and lettingthem learn for themselves.

,+N,6'S!+N AND (-,+$$-NDA*!+NS

&. W.D. Gann's highly>accurate annual forecasts of the stock and commodity markets were based on

astrology. herefore, if we as investors and traders wish to emulate Gann's outstanding forecastingability, it is absolutely necessary that we learn astrology.

!lthough astrology may be learned from a variety of sources, the present writer recommends, as afirst step, the correspondence courses in spiritual astrology taught by *he (osicrucian/ellowship , which may be contacted at nternational Head$uarters, 6ission !venue,2ceanside, #alifornia ) :*8, ?.3.!.

. 2nce we have learned astrology, we must apply this knowledge to the stock and commoditymarkets. his task re$uires much hard work, as Gann himself observed0

" soon began to note the periodical recurrence of the rise and fall in stocks and commodities. hisled me to conclude that natural law was the basis of market movements. then decided to devote tenyears of my life to the study of natural law as applicable to the speculative markets and to devotemy best energies toward making speculation a profitable profession" %" icker A nvestment Digest"interview, December &):)+.

However, Gann has provided us with specific guidance. n summary, we should obtain daily pricecharts which depict important tops and bottoms in the stock and commodity markets and we shouldthen observe the following0

i+ he angles between the planets %the most important of which is the ): degrees, or "s$uare",angle+= ii+*he angles 2especially the => degrees angle4 between the planets and particularpoints on the 9odiac = iii+*he longitudinal position of the sun and especially its => degrees


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angle to particular points on the 9odiac 2because this causes the seasonal tendency in aparticular mar"et4.

When we have mastered how astrological influences affect the stock and commodity markets, wewill be in a position to produce accurate annual forecasts. ike Gann, we will then become theforemost speculators and traders of our generation.

4. !lthough there are many individuals and companies around the world claiming to teach "Gannanalysis" through books, courses, videotapes and computer programs, they should certainly beavoided. his is because, since none of these individuals or companies can produce an accurateannual forecast of the stock or commodity markets, they do not in fact teach Gann's real method.

What follows is some discussion that transpired in the thread James Smithson first posted hisarticle in

was recently sent a copy of Bonnie ee Hill's commentary on " he unnel hru he !ir" by W. D.Gann. Gann enthusiasts everywhere may be interested to read my comments.

Dear 3ir,

hank you for forwarding the commentary by Bonnie ee Hill on Gann's " he unnel hru he!ir" %" !"+. believe this is a very good booklet. n particular, totally agree with herphilosophy that ! is an important book, least understood, with valuable insights scattered andsemi>hidden throughout the book and it is important to construct astrological charts when Gannrefers to key dates and periods of time. !n especially valuable feature of this booklet is that Bonnie

ee Hill has done a very good 1ob of e-amining how certain aspects between certain planets areassociated with historical turning points in the cotton market.

However, would make the following comments0

&+ !s Gann recommended, it is not only important to e-amine aspects between planets, but also%and simultaneously+ aspects between planets and points on the Codiac. ! very important Gann$uotation is as follows0 " here are 45: degrees in a circle, no matter how large or small the circlemay be. ,ertain numbers of these degrees and angles are of vast importance and indicate whenimportant tops and bottoms occur on stocks and commodities, as well as denote important

resistance levels" %Gann 3tockmarket #ourse and #ommodities #ourse+.+ We know that @obert Gordon was Gemini ascendant and on page ) of ! we are told that his

brother called him "#ottonhead" because his hair was so white. herefore Gann appears to besuggesting that Gemini %and its ruler 6ercury+ are important to an astrological understanding of notonly @obert Gordon, but also to the cotton market. ndeed, @obert Gordon was very successfultrading cotton and one is reminded of Gann's statement in " ruth 2f he 3tock ape" %page (*+ toavoid trading in stocks that are your enemies. his is the opposite situation ; @obert Gordon appearsto have a strong affinity with cotton because GeminiI 6ercury, which rule him, are also importantto cotton.

4+ believe it is important to note that astrological influences apparently impact a particular stock orcommodity directly %i.e. higher astrological vibrations drive prices higher and vice versa +.


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#onse$uently believe it is mistaken to assume that in order to forecast higher cotton prices onemust firstly employ astrology to forecast floods, etc. nstead, it appears that Gann directly forecasthigher pricesI higher vibration in a particular commodity or stock and then, in his forecasts, hesuggested plausible reasons that would bring this about %e.g. floods, drought, fear of floods ordrought, government reports and "sudden and une-pected news"+.

@!D2 20 Di conseguenza, credo che sia sbagliato ritenere che, al fne di prevederei prezzi del cotone più elevati si deve in primo luogo impiegare l'astrologia perprevedere le inondazioni, ecc, invece, sembra che Gann prevede direttamente unaumento dei prezzi / vibrazione più elevata in una particolare merce o magazzino epoi, in le sue previsioni, ha suggerito ragioni plausibili per cui avrebbero portatoquesto (ad esempio inondazioni, siccità, la paura di inondazioni o siccità, i rapporti delgoverno e "notizia improvvisa e inattesa" !

8+ believe it is well worth supplementing ****A by e?amining Gann1s @=:: annual forecast for cotton to get an insight into Gann's forecasting methodology. Here are, in my opinion, some keypoints0

i+Gann forecast April to B @=:: low in the cotton market, from which the market would rally touly ( to !ugust 4 &) . mportantly, Gann forecast a rally of 8: points in price in & : days %i.e.

& F +. !t the end of this period time and price were s$uared and the sharp uptrend would end.

ii+Gann forecast July :C to August @=:: pea" in the cotton market, from which the marketwould fall until 2ctober & to 8 &) . f you carefully read Gann's commentary, prices are forecastto bottom 5: points below the level of early !pril &) . herefore Gann forecast a downtrend of4:: points in (* days %i.e. & F 8+. !t the end of this period time and price were s$uared and the

sharp downtrend would end.

iii+ 6ost importantly and fundamentally, Gann apparently forecast the upward swing in the cottonmarket in &) and the subse$uent down swing by e-amining the astrological influences. 6orespecifically, astrology was the foundation of this forecast %and all his forecasts+ and he knew howlong the particular astrological influences would last and so he then estimated how many points upor down that astrological influence would cause the cotton market to move. n a comment on his&) ) stockmarket forecast, Gann stated that his forecasts comprise the mathematical interpretationof the return of cycles= i.e. the mathematical interpretation of the effect of astrological causes.

*+ @eturning to !, we see a similar pattern. 6ore specifically, we should e-amine @obertGordon's great campaign in cotton %pages &)*I &)5+. Gann identified that the astrological forcescontrolling the cotton market would be strongly positive between une *th and 3eptember th&) (. his was a period of (* days, during which the cotton futures market rose by some (.* cents,and at the end of which price and time were s$uared.

3imilarly, with @obert Gordon's great campaign in 6a1or 6otors %pages &)(I &))+. @obert Gordon%i.e. Gann+ forecast that 6a1or 6otor's share price would rise between une 4:th and 3eptember&5th &) ( due to positive astrological influences. his is a period of ( days, during which heforecast that the price would rise from &) to (: J ( points. !fter a rise of ( points in ( days%i.e. & F &+ time and price would be s$uared and the uptrend would end. Gann was of coursestrongly hinting at the astrological influence when he stated that 6a1or 6otors' share price would


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rise during this period because of "! new and great discovery of a time factor".

5+ !lthough it is important to carefully e-amine !, to gain insights into the cotton market, weshould also certainly e-amine ma1or modern bull markets in cotton %i.e. periods of very high pricesIvery high astrological vibration+, namely &)(4, &) :, &))& and &))*.

(+ inally, would comment on what believe is Gann's fundamental philosophy, as demonstratedin this important book, !. Gann was following in a long tradition of religious and spiritualleaders, who give individuals %i.e. their followers+ guidance as to what is the correct path to followto reach the same level as them %i.e. the same higher level of consciousness+. #onse$uently herecommends that individuals should carefully read his book ! alongside a thorough reading ofthe Bible. 2verall, Gann is hoping that his book ! will not merely be read by those seeking agreater insight into the financial markets, but as a ma1or aid to achieving religious and spiritualinsights and therefore greater religious and spiritual development. his is a lifelong process. ndeed,according to some spiritual traditions full spiritual development re$uires a number of lifetimesK

2verall can confirm that very much en1oyed reviewing Bonnie ee Hill's commentary on Gann's! and hope you find my comments helpful.

Lind regards ames 3mithson ! /ote 2n #hapter ( 2f " he unnel hru he !ir"

!n chapter C Gann ma"es the following points;

&+Astrology is of paramount importance to forecasting the future. However this is notconventional astrology but true astrology the "ey to which may be found in the 7ible.

" hold that the Bible contains the key to the process by which man may know all there is to know

of the future, if he will only seek diligently for the rules laid down in the Holy Book" %page (*+." he Bible is full of references where God has given us signs by which we may know what iscoming, if we will only believe them. He says0 72, ye hypocrites, ye can discern the face of the sky=but can ye not discern the signs of the timesM';;How few people are willing to study the Bible inorder to understand the signs and discern the future and profit by it" %page 4+.

+ he principles of astrology are similar to the principles of wireless communication. ndeed, thelaw of vibration governs both. ?nder this, vibrations of a specific wavelength and fre$uency aretransmitted through space and have a specific effect on the recipient.

" he great law of vibration is based on like producing like. ike causes produce like effects.Wireless telegraphy, the phonograph and the radio are based on this law" %" he unnel hru he!ir", page ((+.

his statement is similar to an earlier one by Gann0 " t is impossible here to give an ade$uate ideaof the aw of Nibration as apply it to the markets. However, the layman may be able to graspsome of the principles when state that the aw of Nibration is the fundamental law upon whichwireless telegraphy, wireless telephones and phonographs are based. Without the e-istence of thislaw the above inventions would have been impossible" % icker A nvestment Digest interview,

December &):), page * +. n his later book, entitled " he 6agic Word", Gann discusses thisprocess in more detail0 "@adio works as the result of sound waves which once set in motioncontinue to move and can be picked up by a radio receiving set tuned in to the same wavelength.


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9ou cannot see these sound waves, but you know they work. 6an no longer needs wires to transmitmessages. 9ou can tune in on different stations of different wavelengths. 9ou can tune off, or tuneout stations that you do not want. Before wireless and radio were invented sound waves had beendiscovered and many men knew something about how they travelled, but they had not learned howto record and receive sound waves until they discovered radio;;.6ore proof of what the Bible says,

7 hat whatever a man imagines, he can do'. he man who invented wireless and radio imagined hecould do it, and he did it. his is the greatest proof of the unseen forces being the most powerful.9ou cannot see the air waves or sound waves, but you can hear them and you know they work. 9oucannot see the Divine force that is in the air, but it is there and all powerful, and it will workmiracles for you if you will have faith and put it into action" %" he 6agic Word", page *)+.

inally, Gann hints at the practical application of these principles in the construction of his annualforecasts0 "With my orecasting 6ethods, you can make up a forecast for the average market one ormore years in advance and also make up a yearly forecast on individual stocks. ach stock movesaccording to its individual time limit and makes top and bottom at different times, because thevibration and wavelength varies on the different stocks" %" ime actor !nd orecasting 6ethod",included in appendi- to "Wall 3treet 3tock 3elector"+.

4+


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his idea is repeated by Gann in his final book, entitled "8* 9ears n Wall 3treet"0 "/ot only atomicpower but the power from the sun or from the air has possibilities in the future which would givecheap power and revolutionise manufacturing in many lines" %"8* 9ears n Wall 3treet", page &&*+.

herefore, in his novel " he unnel hru he !ir" and in his final book "8* 9ears n Wall 3treet"Gann is intimating that astrological forces represent a ma1or source of power and he believes thatthese forces will be harnessed in the future.

A Note +n ,hapter = +f *he *unnel *hru *he Air

n the foreword to his novel " he unnel hru he !ir" Gann states that the book has a threefoldpurpose. irstly it is an interesting romance, secondly it teaches a moral lesson and proves thenatural laws laid down in the Bible and thirdly it shows the value of science, foreknowledge andpreparedness.

!s in most other chapters, all three of these elements are present in chapter ). However, there issome emphasis on the second purpose, namely to teach a moral lesson and prove the natural lawslaid down in the Bible. 6ore specifically, under the guise of @obert Gordon discussing religion withhis mother, Gann e-presses some of his core religious beliefs0

"3he talked to @obert of his future and told him she hoped he would be a preacher. @obert confidedto her that he could never be an orthodo- minister, for he could not preach and teach the thingswhich the orthodo- ministers were teaching. He did not believe in a personal devil or believe inHell, but believed in a God of ove and ustice. He did not believe that God would inflict upon anyof his children eternal punishment but thought that whatsoever a man soweth,% ma pensato che$ualsiasi cosa un uomo semina,+ that shall he also reap and that we receive our reward here upon

earth. He told her that the Bible plainly said that the kingdom of heaven is within us and he believedit. f we kept our conscience clear and did unto others as we would like to have them do unto us, hebelieved we would find our heaven and our reward here upon earth" %" he unnel hru he !ir",page ))+.

Gann repeats these core religious beliefs in his later book " he 6agic Word"0

" he Bible does not teach reward after death, but promises reward or a reaping now while you arehere on this earth. esus said, 7!s ye sow, also shall ye reap'. He did not say 7after death' but hereand now. oo many have preached that we should live a life of sacrifice here on earth and wait until

after death to receive the reward. his is not what people want. hey want something practical.hey want to receive their reward here on earth. f they put forth the right effort, they want to know

that they will receive the reward here on earth" %" he 6agic Word", page 5+. rom0 smithson1ames

An important element of chapter @@ of *he *unnel *hru *he Air is 6arie 3tanton's note to@obert Gordon %on page & :+. Within this short note, the phrase " ime proves all things" is ofprimary importance.

Here the verb "proves" is being used to mean "tests". hus the phrase means " ime %i.e. astrologicalforces+ tests all things". his concept appears to be central to Gann's whole method of financial

forecasting and was introduced almost twenty years earlier0" rom my e-tensive investigations, studies and applied tests, find that not only do the various


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stocks vibrate, but that the driving forces controlling the stocks are also in a state of vibration.hese vibratory forces can only be known by the movements they generate on the stocks and their

values in the market........Nibration is fundamental= nothing is e-empt from this law= it is universal,therefore applicable to every class of phenomena on the globe" % icker A nvestment Digestinterview, December &):)+.

hus Gann means that everything on earth is vibrating, but astrological forces modify thesevibrations. Hence time tests all things.

However, although astrological forces modify the individual vibrations of everything on earth, theireffect is often only temporary0

"3tocks are like electrons, atoms and molecules, which hold persistently to their own individualityin response to the fundamental aw 2f Nibration" % icker A nvestment Digest interview,December &):)+.

!nother definition of the verb "prove" is "to check by the opposite operation %e.g. division bymultiplication". hus another interpretation of the phrase " ime proves all things", as applied to thefinancial markets, is " ime %i.e. astrological forces+ causes financial markets to contract ande-pand. 6ore specifically, malefic astrological influences cause financial markets to divide down inan orderly mathematical way. #onversely benefic astrological influences cause financial markets tomultiply upwards in an orderly mathematical way".

herefore the phrase " ime proves all things" summarises Gann's core philosophy andmethodology0

"By my method can determine the vibration of each stock and by also taking certain time valuesinto consideration can in the ma1ority of cases tell e-actly what the stock will do under givenconditions" % icker A nvestment Digest interview, &):)+.

hus Gann's primary method of forecasting was apparently to determine the individual vibration of a specific stock or commodity and then to establish the e-tent to which astrological influencesmodified these individual vibrations . n short, Gann's primary forecasting method was to e-aminethe e-tent to which time %i.e. astrological forces+ tested a particular stock or commodity.

radotto 0 l metodo primario di previsione era $uello di esaminare l'estensione in cui il tempo%cioO le forCe astrologiche+ ha testato una particolare aCione o merce.

1_ Time Factor and More , James Smithson

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Transcript of 1_ Time Factor and More , James Smithson