Gann Theories & Methods. Gann Cosmogram, True Eclipse, Square of 9

This article explores the market analysis methods of one of the most mysterious and controversial traders in history. His approach combines geometry, astronomy, and the study of time, treating the market as a living system governed by universal laws.

This review examines the basics of William Gann’s theory, focusing on key tools such as the cosmogram, the Square of 9, and the True Eclipse Method. These methods are based on mathematical models and astronomical cycles to analyze market behavior and forecast potential price movements.

By studying these methods, you will gain insight into the secrets of Gann’s analysis, which enabled him to predict the movement of any asset with up to 90% accuracy.

The article covers the following subjects:

Major Takeaways

• William Gann’s methods are founded on the relationship between time, price, and angle of movement.
• A cosmogram, or cosmic diagram, serves as a timing tool that aligns planetary positions with market cycles to identify periods when trend changes are more likely.
• The Square of 9 is used to calculate potential price levels and analyze price–time interconnection at key cyclical intervals.
• The True Eclipse Method applies solar and lunar cycles to identify time periods that may correspond to important market turning points.
• Gann levels act as support and resistance levels that are based on geometric symmetry.
• Traders such as Larry Williams and Joe Ross continue to develop Gann’s ideas.
• Gann theory combines mathematics, astronomy, and philosophy, creating a holistic view of the market.

Who is William Gann?

William Delbert Gann was a figure who stood apart from convention. He was a brilliant market forecaster regarded by many traders as a financial mystic. His approach uniquely blended exact sciences such as geometry and astronomy with more esoteric disciplines, including astrology, ancient mathematics, and religious philosophy.

William Gann; AI-restored photo

Known for his deep faith, Gann spent decades studying the Holy Scriptures, viewing them as both spiritual and scientific guides. He often highlighted the Bible’s significance in his writings. Moreover, Gann is also associated with Freemasonry, with some claiming he reached the 33rd degree of the Scottish Rite. Dubbed the “financial Nostradamus,” Gann was believed to have acquired secret insights into astrology and ancient mathematics from Masonic circles, which contributed to the precision of his forecasts.

One of Gann’s most famous predictions was a warning published in the Wall Street Journal in 1909. According to the analyst, the price of cotton was not expected to fall below $0.99 by the end of the year, and by the spring of the following year, he expected a sudden jump to $1.45. Later, his prediction proved remarkably precise.

Gann spent many years studying recurring patterns in market behavior, including time cycles, geometric angles, and the interaction between time and price. His concepts, most notably Gann angles and the Square of 9, remain widely studied. In fact, Gann angles are still available as standard tools on most trading platforms.

William Gann’s predictions were reportedly over 90% accurate, yet he rarely revealed his methods when selling his calculations. Though he authored a dozen books, Gann never explained the main stock market law simply. Many believe he hid his secrets within his writings, which are now studied as a unique blend of mysticism, mathematics, and finance.

Gann Theory and Trading Techniques

William Delbert Gann’s theory is not merely a collection of trading tools, but a comprehensive market philosophy in which numbers, geometry, and natural cycles are unified into a single system. Gann believed that price behavior is governed by universal laws of harmony and repetition. According to him, market movements are not chaotic, but instead reflect the same rhythms found in planetary motion, seasonal change, the evolution of matter, and life itself.

Gann’s methods are based on the principle that time and price are inseparable. He argued that market behavior can be analyzed by relating price movement to time through specific geometric angles. These angles express the rate at which prices advance or decline over time. The most important is the 1×1 angle, which represents equilibrium, one unit of price movement for each unit of time. When price moves above or below this angle, it signals a shift in market strength and often marks a change in trend or the start of a new cycle.

Gann’s other tools, including the Square of Nine, the cosmogram, the Gann Box, and wave cycles, were used to identify recurring patterns and potential market turning points. He analyzed geometric proportions, time intervals, and the distance between market highs and lows, relating them to astronomical cycles and numerical principles known since ancient times.

Gann believed that markets move in repeating cycles and that each cycle is influenced by the previous one. Traders who can identify these cycles may better anticipate future price direction. Today, Gann’s methods are applied to determine support and resistance levels, assess long-term trends, and estimate potential reversal dates. Despite its reputation for mysticism, Gann theory remains relevant, studied both as a practical analytical approach and as an attempt to uncover underlying symmetry between nature, human behavior, and financial markets.

Gann’s Method: The Cosmogram

Let us begin with William Gann’s most enigmatic tool, the cosmogram. It reflects his view that market movements develop in recurring rhythms similar to those observed in nature. Gann believed that planetary positions, angular relationships, and celestial cycles affect the market sentiment and, in turn, price movement. He used the cosmogram as a time study tool, applying it to identify periods when market reversals were more likely to occur.

Cosmogram Method Explanation

The cosmogram stands at the intersection of mathematics and astrology, reflecting Gann’s attempt to relate precise calculations to planetary cycles. Through this approach, he looked for recurring patterns connecting planetary movement with collective psychology and, ultimately, with the behavior of financial markets.

Gann’s worldview was strongly shaped by the ideas of the English scientist Michael Faraday (1791–1867).

Michael Faraday; AI-restored photo

Faraday explored the connection between solar activity and the Earth’s magnetic field, showing that changes in solar energy are accompanied by variations in the magnetosphere. This idea influenced Gann’s view that cosmic processes can affect life on Earth, including natural rhythms and human emotional states.

Because Gann considered the market to be a reflection of human emotions, fears, and expectations, he suggested that planetary cycles could be associated with similar fluctuations in economic activity. He regarded the Sun as a primary source of energy influencing life on Earth, while planetary aspects served, in his opinion, as timing signals for potential changes in market trends.

This made Gann one of the first analysts to try to combine astronomy, astrology, and economics into a single system of cycles. His cosmic approach became the philosophical foundation of an entire branch of financial analysis, where the position of the stars is seen not as mysticism, but as a reflection of the universal laws of rhythm and energy that control both nature and the market.

Principles of the Cosmogram Method

All calculations in the cosmogram method are based on the zodiac circle. While Gann performed these calculations manually in his time, modern software makes the process much more efficient. In this article, we will use the Gannzilla Pro v.8.32 application to carry out all necessary calculations.

To complete the initial setup, follow these steps:

1. Select a geocentric system where the Earth is at the center of the solar system.
2. Set the angle to 180 degrees.
3. Choose a city for cosmogram calculations.

If the settings are configured correctly, a zodiac wheel will appear on the right side of the screen.

A zodiac wheel (cosmogram) is divided into 12 equal sections of 30 degrees, each corresponding to a zodiac sign. Another key element is the position of celestial bodies, including the Sun and all eight planets of the solar system.

You can customize which celestial bodies are displayed on the Planets tab. In addition to the eight major planets, you can optionally include the minor planets Pluto and Eris in your calculations. In this example, we will use the classic method based on the eight planets. When this method was developed, Pluto had not yet been discovered and was therefore not included in early works. Ceres and Eris were discovered later, after Gann’s time. For this reason, Pluto is excluded from the list of planets in this mode, and the classic cosmogram described in the early works is the most suitable approach for beginners.

The positions of celestial bodies are calculated using ephemerides. An ephemeris includes three key indicators:

• ecliptic longitude (absolute degree) — first column on the left;
• degree within the zodiac sign — second column;
• zodiac sign in which the celestial body is located.

Since celestial bodies are in constant interaction, William Gann included a system of planetary aspects in his astrological model. These are specific angular relationships between planets that reflect how their positions relate to one another. He believed that these relationships form patterns that influence not only natural processes but also financial markets.

In his theory, Gann identified five key aspects or angular relationships:

• Conjunction — two planets are at the same longitude, producing the strongest combined effect.
• Sextile — two planets are at a distance of 60 degrees from each other and are traditionally considered favorable.
• Quadrature (square) — 90 degrees, a tense aspect indicating a conflict of energies and potential turning points.
• Trine — 120 degrees, an aspect associated with stability, calmness, and long-term tendencies.
• Opposition — 180 degrees, opposing forces interact, leading to strong fluctuations in the energy of events.

In addition to these basic relationships, Gann and modern astrologers also consider more subtle aspects:

• Semisextile — a 30-degree separation indicating the initial phase of movement within a cycle.
• Semisquare — a 45-degree separation marking the first point of resistance after a cycle has begun.
• Sesquisquare — a separation of 135 degrees, marking a late-stage buildup of strain, often preceding a reversal.
• Quincunx (inconjunct) — a 150-degree separation indicating a break in harmonic alignment and the need for adjustment.

Gann believed that these angular relationships generate vibrations that manifest in market cycles and collective psychology. Within his framework, even minor astrological aspects could signal underlying forces capable of shifting crowd sentiment and redirecting the flow of capital.

To simplify this method, let’s activate only five basic aspects.

The cosmogram indicates a sextile between Neptune and Uranus.

Additional factors influencing the markets:

• Solar and lunar eclipses, which are displayed on the cosmogram with corresponding icons.
• Planetary ingressions — the moments when celestial bodies transition from one zodiac sign to another.
• Retrograde motion — an optical illusion of the inversion of the motion of celestial bodies (it is recommended to consider this only in an extended analysis).

Rules of the Cosmogram Method

Although the method may seem complicated at first, you only need to follow William Gann’s three rules to perform a basic analysis.

Rule 1. When the Sun and another planet ingress into new zodiac signs on the same day, it often marks a turning point in market trends. Such coinciding ingresses signal a reset in planetary cycles and a shift in market momentum. Gann viewed these days as carrying a stronger vibrational influence, capable of altering the balance between supply and demand.

Rule 2. If the ingress occurs over two consecutive days rather than on a single day, the likelihood of a market reversal remains high. In this case, the shift in cosmic energy unfolds more gradually, and the change in trend may be delayed but is no less significant. Gann described such periods as a double renewal, when one cycle gradually gives way to the next.

Rule 3. When only a single body, the Sun or one planet, ingresses into a new sign, the signal on its own is weak and requires confirmation from other astrological factors, such as aspects, lunar phases, or key planetary angles. Taken in isolation, such an ingress carries little weight. However, when multiple indicators align, the configuration may point to a local reversal or the early stages of a broader trend shift.

Researchers of Gann cycles note that such patterns often coincide with real reversals in the stock and commodity markets. Let’s now explore what signals the cosmogram gives in the currency market during periods of reversal.

How to Use the Cosmogram: A Practical Example

The EURUSD chart below highlights two market reversals that occurred on July 31 and September 17.

The cosmogram provided the following signals:

• On July 31, two sextiles were exact: Saturn with Uranus and Neptune with Uranus, indicating a supportive alignment of planetary influences. As a result, a bullish reversal occurred. At the same time, Venus ingressed into Cancer.

• On September 17, three sextiles were observed: the Sun with the Moon, Venus with Mars, and the Moon with Neptune. However, the dominant signal during this period was the Moon–Mars square.

An analysis of the EURUSD price history reveals that this method is effective. However, additional data should be utilized, especially when the cosmogram is oversaturated with signals, as was the case during the reversal on September 17.

Gann Square of 9

The Square of 9 is a numerical spiral popularized by W.D. Gann to identify significant price and time relationships in financial markets. Gann believed that market movements follow natural laws of proportion and cyclic order. In the Square of 9, numbers unfold outward from a central point in a spiral formation, like the Fibonacci spiral, creating angular relationships that link price, time, and market direction. According to Gann, key angles and numerical alignments within the square help traders anticipate trend reversals and identify balance points between price and time.

Time Study: Identifying Market Turning Points Using the Square of 9

The Square of 9 can feel complex at first, but it’s best learned through hands-on practice. Start by building the square step by step, then use it to map out potential time cycles directly on the chart.

To create a Square of 9, we will use the same Gannzilla Pro application, which is considered the best free program for implementing Gann’s methods.

To start with, turn off the cosmogram, as it will not be needed.

Then select the time frame, depending on your goals:

• Short-term (M5): from the previous trading day to the next;
• Medium-term (M30): from the previous week to the following one;
• Long-term (D1): from one major seasonal cycle to the next, such as the period between an equinox and the following solstice.

Let’s analyze the most complex option, the long-term one. As of this writing, we need to choose a period between the summer solstice on June 21 and the autumn equinox on September 22.

Next, set up Gannzilla Pro. Below is an example of settings for long-term analysis.

Layout:

• Visible – Yes
• Clockwise – Yes
• Size – 10
• View – Square of 9
• Data type – Date

Date:

• Today– No
• Value – set the starting date (in this example, 20.06.2025)
• Find – Default
• Show trading days – Yes (for cryptocurrencies, set to No)
• Format – dd.mm.yy

Protractor:

• Visible – Yes
• Clockwise – Yes
• Angle – 180 degrees

Chronometer:

• Visible – Yes
• Clockwise – Yes
• Angle – 180 degrees
• Range – Annual

Once all settings are applied correctly, the chart on the right side of the screen should appear.

To make the chart easier to read, turn off additional elements, such as figures. To do this, right-click each active element. As a result, the Square of 9 should appear as shown below.

The red square marks the midpoint of the right side of the Square of 9.

Let’s mark the dates of the equinoxes and solstices on the chart. In our case, this is June 20, September 22, December 21, and March 20.

Next, mark swing highs and lows for each day from June 21 to September 22:

• June 22;
• July 2;
• July 14;
• August 3;
• August 14;
• August 22;
• August 28;
• September 1;
• September 5;
• September 18.

Now mark these dates on the Square of 9 grid in Gannzilla Pro by left-clicking on each of them. They are highlighted in green in the screenshot below.

After that, start selecting geometric figures, from a triangle up to a decagon. The goal is to find a shape and its angle of inclination such that its diagonals intersect the maximum number of green squares on the grid. If several figures produce the same result, preference is given to shapes with fewer sides, as they are considered more geometrically pure and better reflect the fundamental principles underlying Gann’s method.

For this, left-click on each of the figures on the right side of the screen.

The angle can be selected in the Figures section.

Let’s choose a nonagon.

Now, the outer ring of the chronometer displays potential pivot points. We are focused on the periods from September 22 to December 21 and from December 21 to March 20.

Key dates:

• October 27;
• December 6;
• January 15;
• February 24.

Let’s apply these dates to the BTCUSD chart. Now we have potential pivot points for the next six months.

If you have doubts about Gann’s method, you can check previous dates, namely:

• April 5;
• May 16;
• June 26;
• August 6;
• September 16.

In the chart above, Gann’s time codes are shown by the purple lines, while the actual highs and lows are highlighted with purple circles. In some cases, the margin of error is only a few days. In others, Gann’s method proves highly accurate over the long term, making it possible to clearly identify the points at which major impulses begin.

Price Study: Determining Key Price Levels Using the Square of 9

The next step is to plot the key price levels on the daily chart. When these levels are aligned with significant time points, their intersections form zones that Gann viewed as potential turning points.

To determine these levels, first identify the dominant price angle. Using the previously constructed Square of 9, look for the angle that passes through the median and aligns with the greatest number of price extremes (marked with green squares). This angle shows the direction in which the price has moved most consistently in the past and is therefore considered the most reliable. In practical terms, it is the key reference that connects price and time within the Gann framework.

In our example, most of the green squares fell along the median associated with the 220-degree angle. This indicates that this angle best matches the observed price extremes. However, in practice, you may find that two or even three medians intersect the same number of green squares.

In this situation, remember that Gann placed particular importance on diagonal and cardinal crosses, which are formed by the gray squares on the diagram. In such cases, the angle located closest to one of these crosses is considered the most relevant.

Next, we enter the lowest price for the analysis period from June 20 to September 22 in the Value section of the Gannzilla Pro settings.

The chart shows that the price reached a low of $99,200 on June 22.

The highest price will be $124,473.

Once the lowest and highest values are defined, the increment between successive blocks can be calculated using the corresponding formula.

Substitute the resulting values into the equation.

The resulting price increment is around $1,272.8.

In the Gann Square price settings, specify the lowest value for the period and the increment between blocks.

Mark the squares that lie along the median of the dominant angle.

The highest price level, $265,936.8, represents the maximum possible value for the forecast period, that is, up to March 20, 2026. All remaining squares act as potential resistance levels. There are 10 such levels:

• $101,745.6;
• $113,200.8;
• $114,473.6;
• $136,111.2;
• $137,384;
• $169,204;
• $170,476.8;
• $212,479.2;
• $213,752;
• $265,936.8.

To identify support levels using the Square of 9, simply change the increment sign to negative.

The prices in the green squares are potential support levels:

• $96,654.4;
• $85,199.2;
• $83,926.4;
• $62,288.8;
• $61,016;
• $29,923.2;
• $29,196;
• $27,923.2.

Please note: several squares show negative values. Since the price of an asset cannot be negative, do not take them into account. The minimum price for the entire period until March 20 is projected to be $27,923.2.

Finally, apply the support and resistance levels calculated using the Square of 9.

This results in a grid-like structure. Levels with a positive increment are marked with green dots, while levels with a negative increment are marked with red dots. Notably, the levels derived from the Square of 9 align with previous highs and lows.

The intersection of vertical time levels and horizontal price levels provides us with critical reversal points.

True Eclipse Method

The true eclipse method is based on observing solar and lunar eclipses, which William Gann considered to be the most important astronomical events. He believed that eclipses could have a powerful influence on the psychology of the masses and, accordingly, on financial markets.

Explanation and Basics of the True Eclipse Method

The eclipse moment symbolizes the end of an old cycle and the beginning of a new one, which often coincides with a shift in market trends. By analyzing the dates and geography of eclipses, Gann sought to identify periods of greatest energy instability and likely price reversal points.

William Gann identified four main types of eclipses:

• A total lunar/solar eclipse happens when the Sun or Moon is fully hidden behind the shadow of another celestial body, which, according to Gann, symbolizes a powerful turning point.
• An annular solar eclipse happens when the Moon does not completely cover the Sun, leaving a glowing ring. This phenomenon has been associated with temporary but significant changes in market trends.
• A penumbral lunar eclipse is a less dramatic phenomenon that causes gradual, hidden shifts in price movements.
• A partial lunar/solar eclipse occurs when only part of the celestial body’s disk is covered, which, according to Gann, precedes corrections or instability in the market. It is considered the least important of the four.

The method essentially involves searching for the described celestial phenomena and looking for connections with other astrological events.

How to Use the True Eclipse Method

To apply the true eclipse method, the precise dates of solar and lunar eclipses are needed.

You can use these simple steps to analyze the model:

1. Identify the eclipse date.

2. Look for any astrological events and combinations of celestial bodies, namely:

• celestial body’s ingress into a New Zodiac sign;
• any planetary combinations (conjunction, opposition, semisextile, sextile, trine, square);
• the beginning and end of retrograde motion;
• Moon crossing of the celestial equator.

3. Remember that all the above events, taking place on the same day before or after the eclipse, are equivalent to the same events on the day of the eclipse itself.

4. Determine the time zones for a reversal. The trend rarely changes at the time of the eclipse, but it often happens close to this date. If the market reverses exactly on the eclipse date, pay attention to the planet aspects featured at that time. The trend is likely to reverse again if the same aspect repeats.

5. Analyze lunar cycles after the eclipse. Identify the date when the Moon will cross the celestial equator and the date when the Moon will make a full circle and return to the place that was during the last eclipse. If any of the above astrological events occur in these days, it is considered significant and potentially important for the studied market.

Note that you do not analyze the final date of the Moon’s full circle if the market determined the local high or low at the time of the eclipse. This indicates that the cycle is complete.

Practical Example of Applying the True Eclipse Method

Let’s return to the EURUSD chart with the astrological events identified with the help of the cosmogram.

Then, we transfer the solar and lunar eclipse dates that occurred in the second half of 2025 to the chart.

Two events took place during the studied period:

• September 7 – total lunar eclipse, purple line.
• September 21 – partial solar eclipse, red line.

Gann repeatedly emphasized that lunar and solar eclipses rarely coincide with market reversals. Instead, these celestial events signal an approaching change. The example above shows how the solar and lunar eclipses bracket the actual reversal that occurred on September 21.

Now, let’s take a closer look at the astrological events that happened during the eclipses and whether they can provide us with useful information.

Lunar eclipse. On September 6, the square between Mars and Jupiter is offset by a harmonious trine between the Moon and Mars, along with sextiles involving Uranus, Neptune, and Saturn.

However, on September 7, the picture changes completely. Stabilizing aspects weaken, and the square between Mars and Jupiter is reinforced by a square between the Moon and Uranus.

On September 8, the opposition between the Moon and the Sun forms a strong signal of a potential reversal.

During these astrological phases, the price traded in a correction within the uptrend. However, the lunar eclipse ultimately foreshadowed more substantial changes that unfolded a week later.

Solar eclipse. On September 20, a square between Venus and Uranus, accompanied by a sextile between Uranus and Neptune, indicated a conflict of energies and potential market changes.

On September 21, the day of the solar eclipse, signals of a shift in market dynamics intensified due to the Sun–Saturn opposition, which remained in effect on September 22.

Thus, the market reversal on September 17 was accompanied by clear astrological signals, and historical data shows that the decline continued despite a brief rebound on September 22–23.

Another key signal can be observed when the Moon completes a full cycle and returns to the position it occupied during the previous eclipse.

At the time of the lunar eclipse on September 7, the Moon had just entered Pisces.

The Moon completed a full cycle through the zodiac on October 5, marked on the chart by a purple dotted line. This point coincided with a reversal in the EURUSD pair, much like the one observed on September 7.

The analysis shows that Gann’s True Eclipse method not only complements market research based on the cosmogram but also produces clear trading signals. Its main drawback is that it does not define an exact time for entering or exiting trades. In real trading, traders can solve this issue by combining this approach with the Square of 9 method, which helps analyze the market across different time frames, improving the accuracy of forecasts.

What Are Gann Levels?

Gann levels are key price levels where the market may reverse or enter a consolidation phase. These levels are derived from the relationship between price, time, and the angle of movement. Gann assumed that markets follow principles of geometric symmetry, with each price level linked to a specific time cycle.

The main idea is that price and time move in fixed proportions, shown by angles such as 1×1, 1×2, and 2×1. The 1×1 angle symbolizes a perfect balance between price movement and time and is drawn at a 45° angle. If the price moves above this angle, the trend is accelerating. If it moves below the angle, the trend is slowing down and may reverse.

Such angles are built using a Gann Fan.

Identify the previous significant high or low of the trend. This point serves as the anchor that defines the direction of the 1×1 base angle.

• The preceding extremum is considered the starting point.
• Draw a line through both extremes.

• This line is displayed as an arrow on the chart.
• Draw a Gann fan from this point and align it so that the 1×1 angle lies exactly along the trend line.

As a result, you get the angular Gann levels, which can be utilized as support and resistance levels. Observe how the price bounces off the angles during reversals. The rebounds are marked with circles for clarity.

In addition to angles, Gann levels can include price levels, which are determined using the Square of 9 method. To improve the accuracy of forecasts, it is recommended to use a combination of price and angle levels.

Another key concept is the 50% retracement, also known as the 50% rule. It states that after a strong price move, the market often pulls back by roughly half of that move before the trend continues.

The 50% level is viewed as a point of equilibrium between supply and demand, where traders often reassess buying and selling decisions. Gann used this rule to define support and resistance, believing that a clear break below or above this level could signal a possible trend reversal.

Practitioners of Gann Theory

William Gann’s ideas have strongly influenced several generations of traders and analysts. Many of them attempted to adapt his methods to modern markets. Among his most famous followers are Larry Williams, Joe Ross, James Hyland, and James Walker.

Larry Williams, one of the most successful traders of the 20th century, openly acknowledged that he studied Gann’s work and applied Gann’s cycle principles to forecast price movements. Although Williams went on to develop his own indicators and analytical tools, his approach was still rooted in the concepts of time cycles, price angles, and the recurring nature of market patterns.

Joe Ross, a well-known trader, educator, and author, adopted Gann’s view of market structure and the importance of symmetry in price patterns. He incorporated these principles into his own trading methodology, which focuses on price behavior, pattern repetition, and the relationship between price movement and market structure.

Other researchers, including astro-traders Bill Meridian and Grace Morris, continued to develop Gann’s ideas in the field of financial astrology. They created their own analytical systems based on lunar, solar, and planetary cycles to identify potential market pivot points.

Conclusion

William Gann’s methods extend well beyond traditional technical analysis. He saw financial markets as expressions of universal and natural laws, where every price level, date, and angle fits into a broader cosmic rhythm. Despite its mystical reputation, Gann’s approach reveals a strong internal logic and notable precision, blending elements of astronomy, mathematics, and human psychology into a cohesive analytical framework.

Modern traders still use Gann’s tools, such as the Gann Fan, Square of 9, and the True Eclipse method, adapting his philosophy to the digital age. Gann’s legacy continues to evolve, with his techniques forming a framework that integrates geometry, market psychology, and the laws of time.