Chapter 9 | 2 min read

Weekly Time Periods

Introduction

Gann created a Master Calculator for Weekly Time Periods to determine the trend of stocks and commodities. Weekly time periods are especially useful for positional traders and investors who want to catch intermediate trend changes.

The Year in Weeks

There are 52 weeks in a year. Gann divided the year into parts:

  • 1/8 of a year: about 6.5 weeks
  • 1/4 of a year: 13 weeks
  • 1/3 of a year: about 17 weeks
  • 1/2 of a year: 26 weeks
  • 2/3 of a year: about 35 weeks
  • 3/4 of a year: 39 weeks
  • 1 year: 52 weeks

These weekly counts from any important top or bottom are periods to watch for a change in trend.

Gann's Weekly Rules Recap

  • Bull market reactions often last 2 to 3 weeks, sometimes 4.
  • Fast moves often run 6 to 7 weeks before a minor reversal.
  • Culmination moves can last 13 to 15 weeks.

Longer Weekly Cycles

Gann also watched longer weekly counts, such as 78 weeks (1.5 years), 104 weeks (2 years), 144 weeks and 156 weeks (3 years).

Example: 13-Week Culmination (Illustrative)

A PSU bank stock starts rising from Rs 90 in the first week of April. It rises every week with increasing volume. In the 13th week (early July), it reaches Rs 150 with very heavy volume and forms a long upper shadow on the weekly candle.

  • 13 weeks = one-quarter of a year.
  • Heavy volume at the end of a fast rise (Gann volume rule).
  • Price near a round-number resistance of Rs 150.

All three factors suggest a possible culmination top. Holders book profits or tighten stops.

Example: 26-Week Bottom (Illustrative)

Nifty tops in October and falls for months. Around 26 weeks later (April), Nifty reaches the 50% retracement of its previous rise and forms a weekly bullish engulfing candle. The half-year time period and the 50% price level together suggest a bottom.

How to Use the Weekly Calculator

  • On the weekly chart, number each week from a major top or bottom.
  • Highlight weeks 7, 13, 17, 26, 35, 39, 52 and beyond.
  • When price reaches a Gann level in one of these weeks, look for reversal signals.

Trade on GoPocket

Open the weekly chart on the GoPocket app and count weeks from the last major swing. If a reversal forms in an important week, plan your trade over the weekend and place a Delivery Limit order as an AMO for Monday, with a stop-loss below the weekly low.

Frequently Asked Questions

Are weekly periods better than daily?

Weekly periods give more reliable, bigger trend changes. Daily periods are better for fine timing.

What is the most important weekly count?

13, 26 and 52 weeks are the most commonly watched.

Key Takeaways

  • Divide the year into 13, 26, 39 and 52 weeks.
  • Watch 6 to 7 and 13 to 15-week moves for culminations.
  • Combine weekly time with price levels and volume.

Disclaimer: Illustrative examples, not recommendations.