How to use Gann Grid indicator MT4
In this time, maybe there are so many traders has tried using the Gann Grid indicator MT4 in online trading. The Gann indicator includes several technical analysis instruments that are based on mathematical calculations and can benefit traders if they use them correctly. Therefore many traders base their trading strategies on this indicator.
This indicator was discovered by William Gann in the early 20th century. He works as a trader who trades in stocks. Because it is usually considered that the instrument can only make the maker rich. But this assumption is not correct. Below we explain the principles of the Gann indicator. The principle is simple. The main department of data analysis is the geometric graph that guides traders and provides information about price movements and so helps traders determine when the order should be opened.
How Gann Indicator Work
The picture above illustrates the Gann fan. Middle lines based on two points determine the direction of tendency. And another line, which is above and below the center line is the level of support and resistance. But this picture gives an example of a Gann fan that uses the MACD indicator, which gives an additional signal. Orders should be opened when the Gann line meets the center line or away from it significantly.
This good example illustrates how to work with fans when prices fall. When two points are set, this indicator will give us the most suitable time to enter. And because of the bearish tendency here, the order should be opened for the tendency to go down.
The Gann mt4 indicator includes an analysis instrument called the Gann network. The graph is built on two points, even more, the center line can form the necessary angle or rectangular location corrected according to the graph. The Gann network determines the distance of prices from the level for traders to open orders.
It should be noted that the basic principle found by William is the 45-degree angle. This angle should be formed by the main straight line. And if the bi-top price figures, it means a tendency to rise. If the price figure is located above, the tendency is to rise. In addition to these two analysis mechanisms, the Gann indicator includes the Gann line as well. This line also shows the nature of tendencies. But the image below shows the situation when an additional line (any line) is used too
How to install the gann indicator
To be able to insert the Gann Grid, you can see in the picture below.
After you click Gann Grid from the Insert menu, place the cursor on the screen like this:
Then please double click on the end of the Gann Grid line, then three points will appear as shown in the picture
There are three points that have been marked and function as follows:
- Function to place the initial position.
- It functions to move the Gann Grid position itself.
- Serves to change the angle and slope of the Gann Grid.
what you need to know is the corner of the corner should point to the empty position chart. How big is the angle? It’s up to you because someday you will understand by yourself.
The next step, now let’s draw a horizontal line on each rhombus elbow, as found in the picture below:
The function of this horizontal line is as a map and the limits of market movements: break, sideways, reflections/reversals.
When the price is above the rising line, the market maintains the up-trend direction and if the price is below the line it indicates the market is in a downtrend. The Gann intersection point usually shows signals for major trend changes.
When prices decline towards this line during the up-trend, time and price become the right balance. The next intersection of the Gann line is proof of the cessation of balance and the possibility of a new trend change.
A function of Gann Grid
Gann Grid can display a trend formed by a 45-degree angle (Law of Gann Lines). According to Gann concepts, a 45-degree line can show a long-term trend line (up or down). When the price is above the ascending line, the market maintains the up-trend direction and if the price is below the line it indicates the market is a downtrend.
The first and foremost is the fact that the Gann line can be used singly or alone without any graphical guide. A buy order, in that case, is opened when the price number is away from the line. And you should open a buy order before the price starts to fall, that is before the price falls below the line.
But in this case, there is an additional line, which was built without a specific plan. And this picture shows that when the line meets there is a strong resistance zone and DOUBLE. And there is a possibility that the line will be broken and the line Ganna will be tried. After that, there are many possibilities that prices will continue to rise. This situation is when a trader can prepare a buy order.
By adding experience on how to analyze the market by using the Gann grid indicator, you will increasingly understand in its application to forex trading, the pioneer of analysis with Gann Grid trading strategy r can achieve success, and all traders have the same potential to succeed using the Gann Grid trading system tool
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