Gann's Square of 9 uses geometric angles (45°, 90°, 180°) from significant price points to project future support and resistance levels. Trade bounces and rejections at Square of 9 calculated levels.
- Identify significant recent swing low as anchor
- Calculate Square of 9 levels: √(low) + 1, √(low) + 2, etc., squared
- Key levels: 90° (quarter turn), 180° (half turn), 360° (full turn)
- Wait for price to return to the 180° calculated level
- Bullish reversal candle at the level confirms
- Enter long on candle close
- Stop: below the level by 1 ATR
- Target: next Gann level above, 3R minimum
- // Gann Square of 9 Calculation
- Formula: √(price) then add/subtract angle fraction
- 90° = +0.25, 180° = +0.5, 360° = +1
- Square result back for price level
- Example: price 100 → √100=10 → 10.5 → 10.5² = 110.25 (180° resistance)
Gann methods are mathematically precise but work best on liquid, widely-watched markets (indices, major FX, gold) where enough traders apply similar calculations. On illiquid markets, Gann levels may simply not be observed by participants.