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Beyond Gann: Harmonics and the 1987 Stockmarket Crash

W.D. Gann was not a conventional market analyst, but an innovator. He originated a number of market timing techniques, many of which are now widely used. In our “Beyond Gann” series of articles, we have discussed some of Gann’s unconventional market forecasting techniques such as time cycles, geometric patterns, astronomical correlations and number vibrations.

In a 1909 interview in Ticker Magazine. Gann states,” If we wish to avert failure in speculations we must deal with causes. Everything in existence is based on exact proportion and perfect relationship. There is no chance in nature, because mathematical principles of the highest order lie at the foundation of all things.

Most followers of Gann would say that this quote is consistent with a strictly mathematical procedure of analysis. However, if their understanding of Gann is based only on mathematical techniques, calendar dates and geometric angles, this would certainly be “Gann made easy.” Too easy. In the school of market analysis, those who relied on these methods alone failed their graduation exam during the October 1987 Crash! One needed to have a more thorough understanding, equivalent to a Master’s degree, of Gann’s esoteric methods of analysis to have passed the 1987 test. Those who did pass this test could have heard Gann’s voice echoing the following Scripture: “To you it has been given to know the secrets and mysteries of the kingdom of heaven, but to them it has not been given” (Matthew13:11).

The new methods of analysis needed for a complete understanding of Gann involve both Scripture and a cosmic perspective. Based on our research, we believe that of all Gann’s esoteric techniques, the most important for market timing, as well as the least known and understood, is his use of cosmic and planetary harmonics. In our article, “Gann and the Planets” , we revealed how the widely reported planetary phenomenon called the “Harmonic Convergence” allowed us to pinpoint both the August 25, 1987 stock market top and the subsequent decline months in advance, while most of the well known market advisors failed to foresee these events.

Read Book: W. D. Gann Master Stock Market Course

To further explain, let’s look at the difference between calendar date cycles and forecasting based on the positions of planetary bodies. Many technicians have learned to use Gann calendar counts (30, 60, 90, 180 days etc.) from previous highs or lows in order to forecast future short term trend change dates. These monthly (zodiac) divisions were displayed around Gann’s numerical wheels. It is a matter of experience that markets sometimes react with a dramatic trend change on the 180 day and the one year anniversary dates.

Harmonics and the 1987 Stockmarket Crash 01As an example of how planetary angles can act as hidden energy at certain calendar time periods, consider the dramatic one- day drop in the Dow Jones Averages of 90 points on April 14, 1988. In terms of calendar time, this date was a one-year anniversary from the April 14, 1987 low. In terms of planetary positions, however, the powerful Sun had reached the exact opposition (180 degrees; 1/2 circle; cycle) from its position on October 19, 1987, the low of the Crash!

In the last few years financial astrology has attracted a new interest on the part of investors and market technicians. In using astronomical cycles, however, one must be careful not to assume common astrological interpretations. This would be an expensive mistake (as many have discovered), since one of the problems with using traditional astrology for market timing is that some of its presuppositions have gone unquestioned for centuries. We believe that one must not rely on old belief systems but instead look at heavenly cycles from a historical perspective. This is done by doing original research into celestial laws and cosmic patterns. Then it is possible to understand the relationships between heavenly harmonics and cycles in the financial markets. “The Heavens declare the glory of God, and the firmament shows and proclaims His handiwork. Day after day pour forth speech, and night unto night shows forth knowledge” (Psalm 19:13).

THE SEAL OF SOLOMON

One of the errors of the traditional astrological approach was demonstrated in our previous article on Vibration Inversion Points . We took a planetary aspect called the “sextile” (60 degree angle between planets), which is traditionally agreed to be a “positive” aspect, and gave examples to show that when several planets have formed multiple 60 degrees angles concurrently, the stockmarket has reacted dramatically in a negative fashion. We called this powerful multiple aspectation the Solomon Vibration Inversion Point (VIP), derived from the geometric structure of the Biblical Seal of Solomon (Star of David). We stated that the intensity of the Solomon VIP (and thus its resulting influence on the direction of the market) is governed by its aspectation to other sensitive degrees.

There are also other symbols and geometric figures which are important in accurately forecasting the US. stock and bond markets. They are keys to understanding celestial harmonics and natural laws, and some of these symbols are represented within the US. Treasury Seal and the Great Seal of the United States (figure I).

RCA SCIENTIST DISCOVERS PLANETARY CORRELATIONS

A good example of how original research can lead to a knowledge of celestial harmonics was the study done by John Nelson, a scientist employed by the RCA Corporation. Nelson discovered that certain planetary harmonic alignments coincided with sunspot activity, which in turn generated magnetic storms in the earth’s atmosphere, resulting in a disruption of radio transmissions (figure 2).

Harmonics and the 1987 Stockmarket Crash 02

In his book Cosmic Patterns, Nelson comments, “If the planets, in certain alignments, can cause changes in solar atmospheric behavior, it is only reasonable to expect that they can also cause changes in some segments of our environment here on Earth. There appears to be harmonic synchronicity in planetary angular relationships, caused possibly by the gravitational interaction of one planet upon another throughout the millions of years the planets have been circling the sun. Nelson’s research into the planetary correlations of sunspots gave him the ability to forecast future sunspot activity (and thus future disruptions of radio communications) with an 85 percent accuracy.

Harmonics and the 1987 Stockmarket Crash 03
Figure 3.

Using a similar approach, our historical research into natural laws and celestial harmonics has given us the ability to obtain over 90 percent accuracy in forecasting trend change dates and the direction of the stockmarket. For example, one planetary cycle for timing short term rallies in the stockmarket has been the Venus Trine Uranus Cycle. When the planet Venus approaches an exact trifle (120 degree angle) to Uranus, the market usually moves up until the angle/aspect is exact. This semi-annual cycle has been 80 percent accurate during the last 100 years and an amazingly 100 percent accurate during the last five years (figure 3).

SCRIPTURAL “KEYS” FOR MARKET ANALYSIS

In the book The Magic Word Gann expresses his belief in God and the importance of reading Scripture. He never specified exactly what hidden wisdom was to be found in the Bible, but we have identified several areas in which scriptural knowledge and its perspective can contribute to market analysis. Our research goes “beyond Gann” by seeking to complete the research in those areas that Gann only partially explored. Our findings in these areas may help to explain those instances where Gann made predictions that were not accurate such as his forecast for a stock market crash to start in 1953!

One of the areas of research we have focused on is the astronomical, based upon the premise that heavenly events often coincide with market events. Upon examination it is evident that Gann’ s use of planetary patterns and cycles are not founded upon traditional astrology alone. Instead, Gann’s methods are the result of empirical studies correlating heavenly events with financial cycles.

We, therefore, believe that Gann’s research was scripturally influenced, because of his high degree of accuracy. His use of cosmic events was set in a Biblical context, so that the phenomena which he thought most important was that which traditional financial astrology has largely overlooked, such as eclipse phenomenon in the Bible and the fixed stars.Harmonics and the 1987 Stockmarket Crash 04

Another area in which our research is extending Gann’s insights has to do with the dimensions of time past, present, and future. Gann believed, again with scriptural foundation, that the future is a repetition of the past. We have gone “beyond Gann” by saying that the future is not only a repetition of the past, but it also is a forecasting tool for the present. In a very unusual way, the future prefigures the past, in our present view, as time is seen as a continuum.

We have devised a method of research that analyzes the probabilities of major trend changes in the current market based upon the planetary harmonics in the future! This method represents a quantum leap and a new analytical technique. In a way, it is going “hack to the future” in order to understand the present market situation. It is based upon the scientific hypothesis that time is a continuum in the cosmic realm. Therefore, the future as well as the past is harmonically related to the present! For example, a financial astrologer can tell you that in the future, around November 13, 1989, a dramatic planetary cycle event will occur which should generate a major trend change in the stockmarket. If November 13, 1989 is going to be a major turning point it is probable that this date will also be a one year and/or a six month anniversary from a previous change of trend.

If this is the case, we should also look for a change of trend one year and/or 6 months even earlier (May II, 1989) from that date! Does this future planetary cycle event have a harmonic indicator for the major trend change that occurred exactly one year and six months earlier? In our previous article Beyond Gann: Number Vibration  we stated “Investors and traders who are awake and aware will profit during this (May 19th) time frame.” In the May issue of the Market Systems Newsletter we stated that we were still bullish and that to expect a trend change on May 11th or 12th. This date was 34 Fibonnaci trading days from the March 27th low. This trend change date was based, in part, on what we saw for November 13, 1989, six months later! (figure 4)

ECLIPSES – A PORTENT TO THE FUTURE

Another area of our research using the future centers around the biblical references to eclipses. For example, when the stockmarket opened on January 2, 1987, a dramatic trend change occurred which was the start of a record-breaking three month rally. Traditional astrologers will tell you that the positions of the planets on or around this date do not have any particular alignments in the heavens or significance with respect to the U.S./NYSE natal birthcharts to account for the dramatic trend change.To find the cosmic correspondences for this dramatic trend change, which are also the major harmonic keys for the October 19. 1987 Crash, one must have knowledge of Scripture, planetary cycles and celestial harmonics!

The planet that is said to correlate with dramatic changes and events is Uranus, which also is said to represent computers. Anyone can look in an ephemeris and see that Uranus on Jan. 1, 1987 was located at exactly 23 degrees 38 minutes of the constellation Sagittarius.

Harmonics and the 1987 Stockmarket Crash 05
Fiqure 5.

When you go “hack to the future” and look at the lunar eclipse of April 13, 1987, you will discover that the numerical degree of this lunar eclipse is also 23 degrees 38 minutes in the constellation Libra. This activated the Uranian energy (dramatic change), as it was a 60 degree aspectation — the Solomon VIP!

Most revealing, however, is the fact that this lunar eclipse degree is also the exact degree of the fixed star Arcturus which is referred to in Scripture: “Can you bring forth N4azzaroth (Zodiac) in his season? Can you guide Arcturus with his sons (stars of the bear). Do you know the ordinances (celestial laws) of heaven? Can you establish their rule upon the earth? (Job 38:32-33).

Figure 5.According to the Encyclopedia Britannica and the book The Power of Fixed Stars by Rigor. the star Arcturus is called the “hear guard or watcher”. It is located in the constellation Bootes which is symbolized by the Reaper. (fig. 5. On April 6, 1987 the stock market turned bearish and dropped dramatically (fig. 6), coinicing with the April 13th conjunction of this eclipse and the Star Arcturus (“bear watcher”). Was the bearish market reaction during this “cosmic conjunction” with Arcturus a portent to the future October 1987 Crash?

OCTOBER1987 CRASH –A STELLAR PERFORMANCE

To understand the intensity behind the now famous October Stock market Crash of 1987, one must have the knowledge to interpret the significance of the 23 degrees 38 minutes Arcturus eclipse conjunction, and be able to interpret the various planetary events taking place during the October crash.

On October 6. 1987, Venus reached 23 degrees 38 minutes in Libra, thereby making its passover of the degree of the eclipsed Star Arcturus. The Dow Jones Average dropped 90 points on this day providing a dramatic confirmation of the negative influence of Arcturus. On October l7th/l8th. the powerful Sun also reached 23 degrees 38 minutes in Libra, thereby making its passover of the eclipsed Star Arcturus and completing an exact opposition (180 degrees) to Jupiter. (The previous Sun/Jupiter opposition occurred the day before the September 11, 1986 “crash”).

Harmonics and the 1987 Stockmarket Crash 06
Figure 6.

Also, on Sunday, OCtober 18th, Uranus again reached exactly 23 degrees 38 minutes Sagittarius, thereby generating another intense Solomon VIP aspectation to both the negative Sun/Jupiter opposition and to the eclipsed Star of the heavenly reaper, Arcturus, the “bear watcher”! Could there be any doubt as to what the outcome would be with this combination of heavenly influences? Only a few market analysts. by whatever means, were able to foresee these events, while it was plainly written in the heavens.

Many investors experienced financial “death” during the passover as the heavenly reaper harvested 508 points (5+0+8=13) from the Dow Jones Averages.

Figure 6.Were you just a “bear watcher” or did you follow the heavenly indicators and sell short on October 6. 1987 (13th degree lunar eclipse). There were unbelievable profits made during this 13 day grand harmonic symphony performed by your Heavenly Host.

Naturally, the October 1987 Crash was blamed on computer (Uranus) sell programs. After studying the multitude of negative indicators revealed in our “beyond Gann” series of articles, the famous October Crash should no longer be a “mystery”. (Matthew 13:11) fect market timing was the Heavenly Kingdom, and he could say that the keys to this Kingdom have been given to man (Matthew 16:19). Remember, “The law of the Lord is perfect, converting the soul; the testimony of the lord is sure, making wise the simple. (Psalm 19:1-14).

Therefore, “Seek ye first the Kingdom of God, and his righteousness; and all these things shall be added unto you.” (Matthew 6:33)

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