Gann's Financial Timetable explained

Over the years, I have been asked by a number of readers how Gann calculated his Financial Timetable.

It is believed that Gann constructed his famous Financial Time Table on August 8, 1908 based on the moon's north node cycle of 18.6 years, a cycle which he believed predicted US economic business cycles, including recession, depression and stock market trends.

Like most of Gann's work, the Timetable was a simplified tool designed to be used as a ready made calculator, given the absence of computer programs and software that was not available back in his day.

To mimic the Natural Cycle of 18.6 years, Gann simply alternated a sequence of +19, +18, +19, +18, etc., years across the top of his Financial Timetable to provide an average length of 18.6 years. However, he acknowledged even then, that an adjustment would need to be made at some point in the future to realign the calculations to the correct positions. These calculations can be made precisely, to the exact year, month and day.

What many Gann experts don't talk about when they describe Gann's Financial Timetable however, is that there is another primary (major) cycle that he used when constructing its forecasts.

Additionally, there were a number of mini-cycles within the major cycle which are highly relevant to understand in order to correctly interpret how the Financial Timetable works.

I have re-created the Gann Timetable using my own modern interpretation on how best to use it. Fundamentally, I view the Gann Timetable as a long term investment forecast - something that assists in identifying multi-year trends in equity markets. My adaptation of the Timetable is slightly different to Gann's, but it brings the calculations into the 21st century, and identifies a simple way of using the forecasts with a long term investment horizon.

We are currently within the last of the mini-cycles that make up the Gann Timetable forecast. A new major cycle is set to begin in July 2026 and I expect the following stock market low coming off the back this new major cycle to be a big one. What will follow will be an enormous bull market campaign that will run for 19 - 20 years in duration.

Dow Jones 150,000 is on the cards when this cycle occurs. It sounds wildly optimist now, but time will soon tell that this is not a crazy prediction.

Until next time...