There are lot of trading strategies used by traders to do day trading , one of such trading technique adopted by many successful traders for intraday trading is Gann Square of 9 technique . Gann’s Square of Nine technique is based on geometrical and numerical relationships ,as each number in universe is associated with the other number with some degress relation .
To use Gann’s method for day trading we need to know the last traded price(LTP ) or the weighted average price of any stock during the market hours . LTP should be taken after at least half an hour of trade for better results , as there is lot of volatility in market during the first 30 minutes . Enter this LTP value in the Gann calculator to get the support and resistance levels.
Today at 10:15 am tata motor was trading at 197.8 (up 2.3% ) level , I entered 197.8 as the LTP in the Gann Square of 9 calculator and got 199 , 203 as the resistance level and 196 , 192.5 as the support level , that mean above 199 is should go long and below 196 I should go short . At around 1 pm tatamotors went above 199 . I bought its share at that level with the target of 203 and at 2.45 PM my target was achieved .
On the same day at the same time I got 356 and 361 as the resistance level and 346 , 342 as the support level for bharti airtel . I used 352 as the LTP ( 10.15 am price ) . Buy and sell levels generated by gann calculator were 356 and 351.6 . At 11 am bharti went below 351.6 , I went short at 351.5 , at 2 pm it reached the first target of 346 .
My both long and short trade were successful with gann technique .