Patrick, interesting site. he is not telling what he is
doing, in terms of how the DGL's are calculated each day.
In that chart that I posted, I took the Low of
Oct 8th 1998 and then the alltime high from this
March.
I subtracted the high from the low and got the distance
between the 2.
I then simply divided that distance number by 12.
this concept is also in the PRC compass book by the Eliott
wave folks in Georgia, they only spend a couple of pages
on Gann, but they were kind enough to point out some
additional ways to entertain oneself when you get done
with fibonacci retracement and projection levels.
that gives a price and time vibration of 52.46 in both price
and time.
To be precise…
we take the 10-8-98 low of 923.32 and then the high
of 3-24-2000 which is 1552.87 and subtract the
923.32 from 1552.87 and get the range of 629.55
that number is then divided by 12 and yields 52.46
12 when subdives into 2 and 3 which are said to
be harmonic ratio's , along with 5th's and then
the more minor variations like 7th etc.
My work so far indicates that there are 3 (maybe more)
sets of numbersthat interact to give time and price turning
points,
I don't feel that I am anywhere near finished with
my explorations with this stuff, so by no
means am I saying that I have it all worked out.
I don't.
but if one were an enterprising Gann explorer they would
be looking at taking the same range and dividing in by
2 3 5 etc and then taking a chart and laying out a
grid on those numbers. One would then look to see
if there was a patterns.
when I go to the opera and the symphony, you can sit there
and watch the orchestra that is approaching 100 musicians
play together the wind section, the brass, the
percussion all interact and there are periods where one
section is dominant in the music of say Mozart and then
a period in the piece where another section of
the orchestra is dominant and then periods where they
all kick in.
It's interesting that in these biographies of Mr Greenspan
that have come out recently, they place some focus that
Greenspan went to Julliard and studied music in his
youth. One author theorized on CNBC last week, that
the reason that the head of the Fed has had such
relative success in keeping us out of recessions and
we have been able to avoid a real protracted problem
from the crash of 1987, the Mexican Debt problem of
1994, the 1998 Asia Pacific Meltdown is his ability to
move incrementally, as a song would, along the spectrum
of monetary policy, from the Fed Funds rate, to open
market operations, the rate of growth of M2 and other
technical ways in which the Fed can maneuver in
the ongoing adventure of keeping the temperature
just right and keeping us out of a protracted down-
turn.
It is argued that greenspan has let a Mania develop,
with the gold rush mentality for stocks. We certainly
have witnessed that highest valuations that a major
market has seen, in terms of price to book, price to sales,
PE both trailing and forward numbers and other price measurement
metrics, So we'll have to see how things pan out over the
next few years. even this week the cover story of Barron's
points out that in an information age, tangible assets like
a steel mill or auto plant have a book value, but the
value of intellectual property, and companies that have
a 'joint consensus reality" momentum of business plan, and
understanding of their intellectual property may be under-
valued.
again it never hurts to think out of the box, but also
we should be examining history for it's lessons and ideas
and also remember that "Mark Twain" was famous for
his witty axioms such as
History does not repeat ......it rhymes.
John
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