GlobalTimes_Jan1988

8/9/2019 GlobalTimes_Jan1988

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" lt one way be better than another, that you may be sure is Nature's way."

My understanding ol Gann hasexploded in the past monlh, and thatmakes this first issue of 1988, themost exciting newsletter I have everwritten.Markets are created in twodimensions; time and price.

Both are equally important. But atcertain points time overrides price.Therefore, certain conclusions canbe made about time, independentlyol price.The bulk of this letter focuses ontime, because timing is the mostcritical lactor to moving successlullyin markels. Powerful argumenls forboth inllation and deflation exist.Both can be right over time, butusually one or the other dominatesin specilic lime frames. That is what

I expect of 1 9BB. Huge moves wherenow deflation rages, and now infla-tion.lf you look at past price charts,you will see that only a few datesdominate per month. So the lirst task

I undertake is lo reduce 20 potential-ly hazardous days of decision to 2 or3 per month. I do this by reducingraw data lrom Gann into pattems oftime, which are generally related tothe solar clock of the change olseasons.The process is somewhatlaborious, but the conclusions aresimple and straight forward. Certaintimes are more pregnant thanothers. One is alerted fully a monthahead of time, as to which times are

the most potential. lf priceparameters are right in a right timeparameter, one is ready to move.But about price, it is much more

difficult to make intelligent state-menls that will still seem intelligentin a month's time. That is the natureof commodities. lt is important to tryto isolate the "natural" vibration oflhe commodity that interests you,and Gann is of immense help here.The Oct 19 crash is a taste ofwhat we are in lor in price. Themarket can discount fundamentalsin minutes. The market can moveso deeply in a single day that the ex-pectation and lhe event occur simul-

laneously! We will see a LOT moreol that in 1988. "Systems" are goinglo have a devilof a time in 1988.One must have a methodologyin place to deal with changingmarkets. Markets ARE changingwith computers and systems. I do aVERY DETAILED study of the datessuch events are likely lo occur, sothat I am very clear about when pricebehavior is more likely to be at anexlreme.

When price appear to be at an ex-treme, I run several Computracprograms to measure EXACTLY"how" extreme that exlremity was. Iapply Andrew's techniques, and theGann nalural number sequences,plus the Ganntrader. lf enoughevidence lines up, a commitment ismade.

ARTSTOTLE (384 -322 BC)A prolessionaltrader does nolhave an attitude problem. lt is com-pletely irrelevant lo him whether hebuys or sells a given commodity on

a given day. He goeswith the marketwhen the evidence, to him, is over-whelming. He has been humbledenough times to know, that what hepersonally wants to happen is total-ly irrelevant.Sound methodologies are ab-solutely essential, because manycrazy things are going to happen in19BB. "We believe 19BB is shapingup to be one ot the most sig-niticant years of the 20th cen-tury." That is from Ray Merriman.(Cycles Report, Box 1074, Birmin-

gham, Ml 48012). Ray does solidgeocosmic work. One doesn't needto look deeply into lundamentals tosee the forces that are building up,and preparing to unleash.Read this issue with great care.Every number you will see is sig-nificant. Numbers have lheir own"natural" sequences and properties,and , if you can discover lhem, andmove in harmony with lhem, it givesyou an entirely different sextant,lrom which to take market bearings.

First relax deeply. Get into a quietinner space. Proceed slowly. Otherwise these are just words, and weare already plagued with too manywords.Good luck and Good trading!1/*,/Y" I


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HOW TO USE THEGLOBALTIMES.1) EIIiott Wave Theorists - lookfor wave counts to work themselvesout on EXACT Gann days, as a con-

firmation of signilicant turningpoints.2) Computrac Users, elc. - onexacl Gann days run severalstudiesto help deline il the market is at an"extreme". My own lavorite study isthe "detrend" which plots a movingaverage (l use the 10 day and 2month separately) as a straight line,and measures the distance themarket travels lrom the movingaverage. I got the insight ol the valueol this approach lrom Drummond's

Point & Line charting. ("How to MakeMoney in the Futures Market", GhasDrummond, Box 985 St. Q., Toron-to, Canada, M4T 2P1).3) Ganntrader I Users - Themonthly "aspectarian" I produce isthe perfect companion for Gan-ntrader lfor it tells you what squaresto use lrom what dates, and you canquickly visually see how much ener-gy that square is emitting to thatmarket and which angle lines aresignilicant. lf your Ganntrader hasbeen gathering dust through f rustra-lion, it usually means you weren'tfocused in the right place. (Gan-nsoft, 11670 Riverbend Dr., Leaven-worth, WA 98826)4) Andrews Students - WhileAndrews lechniques combine timeand price, lhe timing is still diflicult.Plotting Median lines and A/R lineson Gann dates gives a sharperfocus. (Reinhart I M, Suite 210,125AOakmean Pkwy, Silicon Valley, CA

94088)5) Wyckoff students - The Wyck-off material is brilliant. Look lor thesignificant points (Such as "last pointof supply", "jump across the creek",etc.) to occur on very exact Ganndays, and increase your confidenceon the validity ol the signal il it oc-curs on a critical day. (SMl, 715 Sier-ra Vista Dr., Phoenix, Ariz 850'14)

6) Cycle Analysts - the greatestweakness of cycles is the plus orminus 10 "/" variability in timing.Gann is very exact, usually within aday ol signilicant pivots. Cyclic ex-pectations can be merged with theMORE SIGNIFICANT Gann pointsin time.7) Option players- Buying optionsonly makes sense if a MAJOR moveis in the ofling. Otherwise the timeerosion ol options eats you alive.Look lor MAJOR aspects lo squareout to purchase options, especially

in lhe commodities that appearto be"ready to go" around equinox's andsolstices. The rest ol the time, stayoul, or use a sophisticaled optionwriting program.8) Day traders - look for sharpmovements on the Gann days."Market prolile" patterns shouldoccur on these days. That means,you have a much higher chance ofgetting in WITH THE TREND, andthe market will move enough to letyou out on the same day, with aprofit. Especially on Mondays!9) Position traders - position onlyon major working out ol thedominant squares. When severaloccur within a f ew days, the odds in-

crease dramatically that a majorshift is in process and a significantmove will result. Waiting forconfirm-ing news is a sure way to miss themove. You need to be able to an-ticipate lhe news and position pure-ly on technical considerations.10) Farmers and grain elevatoroperators - acquire and dispose ofyour inventory with the same at-titude of the position trader. Thatmeans conf ining pricing decisions toone or two days per month, when

major Gann aspects are squaringout. lt will eliminate a lot of luzzydecisions.INTER-RELATED'IESSRememberthatthe market is onebig ball of wax, and what happens inone market aflects the others. Thatis why I have placed the lirst live

groups ol commodities together;bonds, stocks, the US Dollar, goldand the CRB lndex. Think of it as 5parts of one big market. Large fun-damental lorces causing a radicalshift in one, will affect the conditionof allthe others, AND THEY REACTSWIFTLY.The same holds true for manyGann squares. Each market has auniqueness, but many share thesame squares. A good example isgold and bonds. All markets willvibrate off every major square com-ing lrom Oct 19 lor the next lewyears. Watch them all.

Remember to always placemore emphasis on what I say aboutTIME than what I say about PRICE.We are going to see more deepone day corrections in 1988. Espe-cially watch Jan 18. The square ol 9chart is powedulon such days, as isthe Computrac detrend. Watch myJanuary dates and these tools onthose days, and you will see what Imean.

The next thing, is that I see verymassive shifts in MOST marketsvery shortly after the winter solstice(Dec 23). lt should create HUGEMOVES, that I see climaxing on Feb17. More on Feb 17 nextmonth...For the record, I see bondsUP, Stocks UP or DOWN, goldDOWN, US Dollar UP, CRB lndexUP or DOWN and grains and live-stock UP. But remember that TIMEoverbalances PRICE on CRITICALDAYS!

BONDSFundamentals

Bullish The stock market crashsuggests a recession which wouldcurb demand for loans. Hence theenormous rally. lf a recessiondevelops, bonds have MUCH higherto go.Bearish The fundamentallyweak US Dollar creates pressure oninteresl rates to compensate lor cur-rency losses. The crisis almosphereof the dollar forces interest rates


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1 - JLINE '88 T BONDS

higher. WATCH THE DOLLARAROUND THE EQUINOX!

TechnicalsOn Oct 19the bond market ex-ploded upward in knee jerk reactionto the dellationary implications o{ thestock market crash. There was notime to think. Either one saw the im-plication of the crash or one didnl.See the Nov 1 issue of The GlobalTimes to see why il happened onOct 19.

Get Oct 19 very firmly fixed inyour brain, for it is THE MOST lM-PORTANT DAY of 1987, from whichto measure time lor the NEXT TWOYEARS, IN EVERY COMMODITY!That is attested to by the quantity ofblood letting that day. A lot of thebrothers faced total ruin, and it burnsdeeply into the consciousness.Look at the chart and you willsee two important highs in Novem-ber. Now see where they fallon thesquare of 144. The Nov 6 high wasthe 18th day, and the Nov 24 highwas the 36th day, the 1/8th and 114divisions of that square. Next watchthe 72nd day (Dec 30). The squareo1144 is alive and well!

PROJECTED BOND PIVOTS

Look at the Dec 10 break. lt oc-curred on the 52nd day from thecrash. lt was the 17 billion US tradedeficit ligure that triggered thismove. Fundamentals happen onexact Gann days. The square of 52is alive and well! Watch the secondsquare of 52 on Jan 31 , 1 988.Especially watch the square of76 which falls on Sunday, Jan 3. lt isthe prime reason why bonds shouldGAP into 1988.The natural vibration of priceappears to be 24, a numberthat oneconstantly runs into. The drop fromcontract high to conlract lowwas just

under 24 points ($24,000), so thatone can break the price into 4naturaldivisions of 600 points.FORECASTThe 3 most important days inBonds in January, 1988 are Jan 4,Jan 18 and Jan 29.1) On Jan 3, a Sunday, we havethat square of 76 (see Dec issue of

THE GLOBAL TIMES) that hasdominated bonds in 1987, squaringout. The completion of that squareshould bring powerful energy intoALL MARKETS on Monday, Jan 4.2) The next significant pivot shouldoccur Jan 18 as several squares

come in on the weekend (see theaspectarian).3) Then look to a very extremeclose on Friday, January 29 as noless than 4 squares occur on Jan 31 .It should cause a very importantpivot on Feb. 1.ln such a situation,where several squares occur on theweekend, ALWAYS assume thatstrength on a Friday will causeMORE STRENGTH on the lollowingMonday. lf January is up, as Isuspect, look for a signilicant

CLIMAX the {irst day of February.A NOfE...Astro-physicalevidence suggests a climactic en-vironment in MID-FEBRUARY, andmy Gann material CONFIRMSMAJOR SIGNIFICANCE ON FEB17. lt could be FINAL CLIMAX inmany markets. More in the next let-ter.."I will assume the trend out ofthe equinox is capable of being sus-tained into mid-February.

S&P INDEXFundamentalsBullish - The economy SO FARhas only slowed marginally.Bearish - Total debt to GNPremains at untenable levels and thiswillcreate instability untilthat debt ismore closely aligned with the valueof the underlying earning power.

$150 billion fiscal de{icit plus $150trade deficit, plus a recession com-ing equals a mess of red ink. Thestock market is rightly worried.Are we going to have a depres-sion? My own opinion is yes. Howcan one have another opinion whenthe problem is that spending mustcontract by $SOO billion? But it will bevery confusing, because some sec-torswill boom, and likely inflationwill


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f lare when deflation produces politi-cal alternatives. The last depressionwill not be a good guide.TechnicalsThis is a difficult market to quan-tily technically, because the Oct 19crash likely represents a 60 year ex-

treme and augurs in a new era. lt canstay in a trading range for severalmonths. 19BB will be the year when{he reality of our collective irrespon-sibilities are focused upon, and onecan hardly get enthusiastic aboutthe stock market if one knows some-thing of economics.PRICESince the S&P gapped exactlyal 270 and hit 't8l on the low, anatural division for the S&P isdivisions of 45 (like July corn and

Feb gold!).FORECASTlf a major transition occurs, itshould happen out of the wintersolstice. See bonds because thesame squares are at work in almostall the markets. lf bonds go into abull, that should leave stocks in abear market into 1988. Look for aGAP on Jan 4, either way.

Minor pivots occur Jan 7 andJan 14. Seyeral squares come in theweek of Jan 22, and the way they are

spread out suggests volatility. I thinkthe close on Dec 31 will decide thedirection for January. WHEN lNDOUBT, STAY OUT!A very powerful close shouldoccur on Jan 29 culminating in aclimax on Feb 1.GOLD

FundamentalsBullish - a deteriorating US Dol-lar has inflationary implications. Aresort to easy money to come out ofthe current crisis of debt wouldcause inflation.Bearish - The stock maftetcrash suggests inherent def lation inthe economy, and gold is divorced

from the monetary system. ln adepression, the fear is a resort to in-flation, but the current reality, is thatpeople eat food, not gold, whenthings get difficult. So gold can bemoved by powerfuldeflationary for-ces before an inflationary option be-comes politically viable. This is my

ly bearings offthe goldmarket is AC-UALLYTechnicalsIn 1987 al-t all thenajor pivots

n gold wereP POSITEonds. Ex-ect thatlationshiptonue.The Dec14 high was 4squares of 52from the May

PROJECTED GOLD PIVOTS QUITE IMPORTANT.

20 high. The volatility of the past f ewweeks is more reminiscent of dis-tribution than of accumulation. Thedeep sell off of Dec 17 occurred at 11/2 squares of 90 {rom Aug 4 top. Iwould assume that more tesling ofsupply around the equinox, or short-ly thereafter can set up the makingsol a powerful bear move as 19BBbegins. The proper approach isto GO WITH WEAKNESS ON.Dec30 and 31, as there should bepowerful follow through of trendsinto the first half of January.PRICEFeb gold has a range of $132,or almost '135. Since Feb gold hashad a high of 510, and has general-ly held $45 below that, one canbreak this contract into 3 nicedivisions of $45.00 (112o190). Thus

breaking below $465 would give a"natural" objective of $420 at thebottom of the second division. Thenext natural support would be$375.00.FORECASTThe market will GAP into 19BBrun sharply, especially if it is. A minor pivot should beormed on Jan 8., but the time of anificant pivot should occur about18, as 5 squares complete inweekend period. lt should be

A minor pivot should occur onJan 25, and a more important pivoton Feb. 1 as 3 squares complete onJan 31.

CRB INDEXFundamentalsBullish-Crashing US Dollarhas in-

f lationary implications.Bearish - Money supply is againcontracting dangerously, as theeconomy appears overwhelmed byinherent def lation.PRICEThe range of the Dec CRBlndex is 36, so that gives 3 naturaldivisions of '12. That means watch-ing the square ot 144 in it's divisions-JUNE'88 GOLD


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of 12 once this range is exceeded.The objective as per Wyckoff wouldbe a move of 36 points ($18,000),once inf lation or dellation moves lulltilt, for a total movement of 72 or 1 /2ot 144.FORECASTMy outlook is mixed, for I see me-tals bearishly and grains and live-stock bullishly.Watch Jan 7 as it is the end of thesecond square ol 144 from March25, and Jan 6 is the 3rd square of 52from Jan 6. A Jan 7 extreme canpivot the lollowing Monday, Jan 11,as the 2/3rds of 360 squares on Jan10.Then watch Jan 18, as Jan 17, aSunday, is 90 off the Oct 19 mas-sacre. (Watch this in all markets...)

Look for the next signif icant pivotto be on Feb. 1, as the square of 52catches the October 19 high (twosquares out);plus a second squareof 90 from Aug 3 to add zing.U S DOLLAR INDEX

The outlook for the US Dollarhas MAJOR implications for ALLcommodities. The fundamenlals onthe US Dollar are bearish, and I per-sonally have no idea how the US isgoing to balance it's books. ln fact,in the next few years, the red ink willlikely double and triple as theeconomy contracts severely.

But I also know that the dollar hasbeen falling for 2 years and dis-counted a lot of bearishness, andthe dollar will already be a long wayup before dullards as myself haveIigured out why. Watch the solstice,as the dollar has made severalturnsalready around this time frame.

Seetheaspectarianthe signif icanpoints

SW/SS FRANCFORECAST1) Jan 4 should be a GAP. Wehave a 120 from Sep 3 on Jan 1, a144 from Aug 11 on Jan 2 plus the76lrom Oct 19.2) Jan 14 - a square of 52 f rom Aug

11 (3 squares) and Oct 1 (2 squares)hits today.3) Jan 18 - This day should cul-minate several squares; a square of52 from May 1 (5 squares ago), andthe square of 90 from Ocl22 whichalso includes the Sep 3 low at 1 1/2squares (135 days).4) Jan 26- Square ol270lrom Oct1 and a square of 144 the previousday from Sep 3.5) Feb 1 - on the weekend beforethe square of 120 from Oct'1 and the2nd square of 52 from Oct 19.CATTLE

FundamentalsBullish - Live cattle supplies shouldbe down 4 % in 19BB- We are in a seasonaltimeof strength.Bearish - A recession would hurtdemand.- Heavier supplies ol othermeats willhurt demand.

TechnicalsAn incredibleamou nt ofdates linewith highenergy dayalmostday from14lo Dec.24and at lhispoint, I do notknow whetthat means adirectional

market, or heavy chop (So far it'schop!) which will linally appear asaccumulation in a wild market. Butthe issue should be resolved onDec. 31, the anniversary of lastyear's low. From Dec. 26 no morestrong days appear, until Dec. 31,when I have no less than four pointsin time f rom the past focusing on thisday. So Dec. 31 should be a verypowerful day of over 100 points, andthe close on this day should markthe direction in which the marketshould GAP on Jan 4, and thegeneraltrend through the month o{January.PRICEThe seasonal drop in priceswas EXAOTLY 900 points, or$3,600!FORECASTThe lirst thing to note, about theGann aspects for January, is thatthey are more di{fused than in thehogs. ln other words, the dates arenot as bunched and about half thedays have some aspect coming in.So the dates I give are likely NOT asreliable as in the hogs. ln such a cir-cumstance, it makes a lot of senseto run a program like Computrac,sell when one is a set distanceabove a 10 day moving average,and buy on days when one sees

PROJECTED CATTLE PIVOTS 3 - JUNE '88 LIVE CATTLE


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support at a preset levelbelow or atthat moving average.For Ganntrader users, run allthesquares from the January aspec-tarian to identify which squares arein power. And if you are conlusedt itis really simple, STAY OUT!

FORECASTJan 4) Cattle should start the firsttrading day of 1 988 with a banE, andthe bang should be UP. Look at this4 tne ruov 3 low to Dec 4 low is 31days to Jan 4 is 31 daysii) The Oct 13 high to Nov 23 highis 41 days to Jan 3 is 41 days. So wehave mirror dates from highs andiows focusing into the same timeframe.iii) Jan 3 is the second square of

52 {rom the Sep 21 contract high.Because the dates in theJanuary aspectarian are so inter-spersed, and seasonally we shouldexpect STRENGTH in this timeframe, the market could be voland correct as it moves up. 2 da200 point corrections are entirepossible.

See the aspectarian for themonth dates.2) Feb. 1

From Jan 29 to Feb 2, we havesquares of 90, 144 and 52 coming inand it should result'in a moredramatic extreme around Feb 1,than the intra month highs and lows.Odds would favour a SIGNIFICANTHIGH in this time frame.HOGS

FundamentalsFundamentals are pulling in oP-posite directions in hogs. The in-creasing herd size suggests thatlower prices are in store in 1988. Butseasonally we are now in a timewhen prices generally go uP. Whe.none looks at the current wave struc-ture, the argument lor higher pricesin the near term is stronger.TechnicalsLook at the time symmetry ofthe Feb hog contract. lt appears tohave completed a nice 5 wave bear

PROJECTED HOG PIVOTS

pattern out of the August 26 high.Therop fromthe Nov 4high is in-eresting intimend pricent e ract.The pre-ious dropwave 3ook '21alendarlays (inhe Deco nt ractas 4lowNov.

PRICE bottomed on Dec. 4. Be-cause PRICE was ahead of TIME, ittook TIME untilthe 17th to "run out".Thus the market"marked time" nearthe lows, This is a phenomenon lhatyou will see many times in the nextyeat, so it is important to understandhow time and price balance.December 17 was also thepowerfut square of 52 from the con-tract low on April 1, that hasdominated the hog market. At 104 itmarked the July 14 low (see Deccontract). At 156 it market the Sep 4contract high. At 208, it market theOct. 26 low (See the June 'BB con-tract), and on Dec 17 we were 260days out! lt market the TIME low,while the PRICE low occurred onDec. 4. That was how I pegged theDec. 17 low last month low as the

probable date of a major bottom.Monday, Dec. 28 is a culmina-tion of several Gann points betweenDec.25 and Dec.28, and likelyto bevery powerful. At this point, it wouldappear important lows should be be-hind us, and the direction should befor a strong move into 1988. lfDec 28 is a strong day up, I will as-me that January, 19BB will begenerally a bullish month, until themaket itself shows me otherwise. lfthis day is down strongly, it should

set a bearish tone to January. Let'sput it this way. I would invest morein a bullish than in a bearishscenario.FORECASTThe most important days in hogsin January are; Jan 11, Jan 13, Jan18, and then Feb.1.1) January 11This Monday falls at the end ofseveral sequences that are current-

ly exhibiting great power in hogs.I Look at this sequence, moving inmultiples of 34 days from the con-tract high;). 21 Daysalendarfromov. 24as Dec.

Date EventAug 26 contract highSep 29 important lowNov 2 important lowDec 6 important lowJan 9 ???????????346810.21364 - FEB '88 LIVE HOGS 17. But'the


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i/ On Jan 10 and 1 1 the squares ol52, 90 and 144 all square out. Jan10 is 216 days from lhe Jun B high.Jan 1 1 is 104 days lrom the Sep 29low, and 90 days lrom Oct 13 high.So we should assume Mondaywillbe an extreme day in hogs.2) January 13Normally I would ignore thisdate, but it is the second square ol144lrom the April 1 low of last year,and this square picked the Nov 3 lowalong the way. lt could be a high orlow depending on whether thissquare is working in harmony, or inopposition to the Jan 10 and 11squares. Either is possible.3) January 1BLook at this sequence from con-tract high moving in 48's which cul-minates the square ol 144 on Jan

17'.DAYS Aug 26,87 contract high48 Oct 13,87 high96 Nov 30, 87 last break144 Jan 17, BB pivol???January 17 is also 135 days fromSep 4. Therelore be very sensitiveto a significant shift in hogs on Jan18.4) Feb. lLike in a lot of other markets,strong aspects come in on Feb 1.They are 216 lrom Jun 30 and 90{rom Nov 3.

WHEATWheat fundamentals continue toimprove asthe USDAcut 100 millionbushels f rom the latest carryover es-timate.Let's look where the Dec pivotsin the MArch contract occurred. TheDec 2 high was exactly 2BB days(144.2) from the Feb 17 low. Thetest of that high on Dec 14 occurred208 days (52-4) lrom the May 12contract high.Pricewise, the March contract isvibrating directly off the square of

144.11you count the square144by'12's you have thetract high and low olwheat in the sequence. Look12 24 36 48 60 7284 96 108 120 132144156 168 l80r 192 204 216228 2401252D.M 276288300 31 z@sa348 360372384 396 408 424 432By seeing where the high andlow fall you can see why thenext point ol resistalce onbreaking above 324 0s 360.But there should be FOR-MIDABLE resistance at $3.60,especially if it is reached on akey Gann date. A proper aFproach is to sell out longs at$3.59 and await a close

$3.60 to go long again.FORECASTDec 23 is a pivotal daywheat, and lwould expect arally lo occur from that date, EXACTLY. The Dec '87 contractoccurred on Oct. 17, '1986, andwinter solstice is exactly 3 squaresof 1 44 lrom that date ! Dec 23 is also2 112 squares of 90 from the con-

tract high. Finally Dec. 24 is 3squares of 52lrom the contract low.So many lhings coming together ex-actly at the solstice is not a co-in-cidence. The market will do aprofound shift from that time.These conclusions about TIMEare more important lhan con-clusions about price. WHEREVERwheat is on Dec 23, it should shift

5 -JLILY'88 WHEAT

PROJECTED WHEAT PIVOTS

ABRUPTLY, and certainly theevidence suggests UP. As I write,wheat is at 3.12, and il it should hap-pen to sell ofl to 2.88, it will be asucker play and a clean out ol weaklongs before a major rally. A swingupward should go to $3.60. Morebullish developments would give a$3.96 objective.

ll my thesis is right, wheat willclose strong on Dec 30, 1987, andgap up on Jan 4, 1988.Days that stand out in Januaryare the 7th, the lBth, and the 27th.Check the detrend at that time. I

think strength out of the solstice canconlinue into February.

SOYBEAN OILSoybean Oil fundamentals con-tinue to improve, and lwould expectthe bean oilto take leadership of thebean complex, as the world focuses

Study these numbersfrom the contract highsand lows of March '88wheat!

,-=,1396\/ 16.'>eOO fl3boo."s'',' -t'frsza'1'*{'ocY h? A\ ": \'284'\ t;6/ ' \- "izsz _ e enlrar/ 1o^_,I l/ ,'"144 -


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on FOOD versus FEED. Bean oilshould remain in a muhi month bullmarket that still has a long way to go.Key dates in January, are the1th, 19th and Feb 1. A lirst "natural"objective would be doubling the sizeof the trading range, or around 22

cents. Next objective is 150 % of thelows or around 24 cents.

The signilicant ciates in January,alter Jan 4 (which should GAP), arethe 7th, 11th, 18th and 27th. But Ithink strength out ol the equinox willconlinue into February.I will cover these grains more

thoroughly in an upcoming issue.

still have suggestions on how loproceed.It defines different categories olrisk, and suggests the capital re-quired to "shi{t" categories. Whenyou have too many losses, you"shift" your risk downward, untilyourcapital is rebuilt. lf you win, you canaccept larger risks, but continue torespect rnoney management. Thebase is capital preservation, withseveral built in insurance policies tolessen the risk of disaster.

Using such a model, one buildsthe inevitable losses that happen,into acceptable operating costs. Theemotion of decisions is removed,because the risk is always carefullystudied and acceptable to thatamount of investment capital. Oneawaits the key dates before decidingwhether to assume the next risk.Discipline!

As you can see in this newsletter,the opportunites in the next 20 trad-ing sessions are many. That is al-ways the case. The problem is a dis-ciplined use of capitalthat is in har-mony with that capital's ability togrow, without trying to overworkthatamount of money.The modei is built around thenatural numbers one finds in study-ing Gann. lt is very exciting!My best wishes to all of you lor aProsperous New Year!

ANNUAT SUBSCRIPTIONFOR NON-CLIENTS IS $360.00PER ANNUM, AND INCLUDESWEEKLY ELECTRONICNEWSLETTER ACCESSIBLEFRIDAY, 3:00 p. m.

ANNOUNCEMENTCORN, BEANS & MEALThe overallfundamenlals in thegrains and oilseeds have improveddramatically in the past half year.That lends a bullish 'tone" to themarket, and one should watch thetechnical market {or places to buy.The Gann TIME vibrations incorn, meal and beans are exactlythe same, meaning that they sharethe same high and low dates ofmajor pivots. My observalions onwheat generally hold true to theseother grains.

FANECASTI expect that the grain comPlexwill stage it's next rally out of thewinter solstice, with wheat and beanoil taking leadership. Bul soybeansand corn should also respond up-wards INTO FEBRUARY.

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Published monthly by Global Futures Corporation , Suite 600,808 West Hastings Street, Vancouver, B. C.Y6C.2X4The informa[ion contained in this publication is accurate to the best our knowledge. However, it should not be construed aa direct solicitation to take positions in futures or options. Conditions change quickly in futures markcts. Therefore you arcadvised to have a comprehensive strategy before engaging in the volatile futures or options markets.

I am interested in working withseveral dozen of you personally,who think that your expertise andmine together could make a power-lul team, whether it is hedging, in-vesting or speculating. But don'tdelay too long. Very soon, I will belorced to restrict access to myself !IN NEXT MANTH'S ISSUE...The biggest problem most ol usface in becoming successful inves-tors, is that we are lacking in the dis-ciplined money management that isabsolutely essential.

I am currently working on aGann based calculalor, thai definesacceplable risks that can be under-taken with different levels ol capital,lrom as little as $7,200 to over a mil-lion dollars. lf your capital is less, I


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S[/14SS FRANC CATTLE HOGSDec 24 - 135 - Aug 11Dec27 - 240 - May 1Dec30- 90-Oct 1- 72- Oct 19Jan 1-120 -Sep 3Jan 2- 144 - Aug 11Jan 4-384-Dec16Jan 13 - 104 - Oct 1Jan 14 - 156 - Aug 11Jan 16 - 260 - May 1-135-Sep 3Jan 20 - 90 - Oct 22Jan 25 - 144 - Sep 3Jan 26 - 27O - May 1Jan 29 - 120 - Oct 1Jan 30 - 104 - Oct 19

CORN, BEANS, MEALDec 25 - 135 - Aug 12- 72- Oct 14- 52- Nov 3Dec 26 - 208 - Jun 1

Dec 23 - 216 - May 21Dec24 - 90 - Sep 21Dec 26 - 72 - Oct 15Dec 31 - 240 - May 5- 135 - Aug 18- 104 - Sep 'lBJan 3-104 -Sep21- B0-Oct15- 41 - Nov 23 (MiJan 5-180-Sep21- 90-Oct17JanT-120 -Sep 9Jan 9-144-Aug18

Jan 13 - 90 - Oct 15Jan 15 - 24O - May 20Jan 17 -27O - Apr22Jan 19 - 120 - Sep 21-260-May 4Jan 20 - 180 - Jul24Jan 21 - 156 - Aug 18Jan 23 - 120 - Sep 25Jan 29 - 270 - May 4Jan 31 - 144 - Sep 9Febl-90-Nov13WHEAT

Dec 17 -260 - Apr 1- 156 - Jul 14-104-Sep 4Dec 27 - 270 - Apr 1- 180 - Jun 30Dec 28 - 90 - Sep 29

Jan2-180-Jul 6-120 -Sep 4- 60-Nov 3JanlO-216-Jun B- 180 - Jul 14Jan11 -104-Sep29- 90-Oct13Jan 1 4-2BB - Apr 1- 72- Nov 3Jan 17 - 135 - Sep 4Jan 24 - 208 - Jun 30Jan 25 - 104 - Oct 13Jan 26 - 144 - Sep 4Jan27 - 12O - Sep 29Jan 30 - 208 - Jul 6Feb 1 -216 -Jun30- 90-Nov 3OATS

Dec24 - 104 - Sep 11Dec 25 - 156 - Jul22- 52- Nov 3Dec 26 - 208 - Jun 1Dec27 - 54 - Nov 3

Jan 3-216-Jun 1Jan 9-12O-Sep11Jan 13 - 240 - May 1B-208 - Jun 19Jan14-72-Nov3Jan 18 - 180 - Jul22Jan21 - 216 - Jun 19Jan24 - 135 - Sep 1'lJan 27 - 240 - Jun 1Febl-90-Nov3

Jan 3 -216 -Jun 1- 144 - Aug 12JanT-240-May12Jan 10 - 208 - ..luir t OJan 12 - 90 - Oct 14Jan 15 - 156 - Aug 12JanlB-216-Jun16- 336 - Feb 17Jan 26 - 104 - Oct 14Jan 27 - 260 - May 12-24A - Jun 1Febl-90-Nov3Feb 2-260-May18

Dec 23 - 225 - May 12Dec24 - 156 - Jul 21Dec 25 - 72 - Oct 14

JanT-24O-May12Jan 12 - 90 - Oct 14Jan 15 - 360 - Jan 20- 72- Nov 4- 60-Nov16Jan 17 - 180 - Jul 21Jan 26 - '104 - Oct 14Jan 27 - 260 - May 12Feb 2- 90-Nov 4- 144 - Sep 11


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JANUARY 1 9BB ASPECTARIANBONDS S&P INDEX GOLD

Dec 23 - 260 - Apr 7Dec 26 - 360 - Dec 31Dec 30 - 72 - Oct '19Dec 31 - 90 - Oct 12Dec 20 - 27O - Mar 25- 180 - Jun 23Dec 22 - 216 - May 20Dec 26 - 144 - Aug 4Dec 30 - 135 - Aug 17- 72 - Oct 19Jan 3- 76- Oct19JanT-2BB-Mar25- 156 - Aug 4Jan B-144 -Aug17Jan 15 - 24O - May 20Jan 17 -2OB - Aug 4- 90-Oct19Jan 20 - 156 - Aug 17Jan 25 - 216 - Jun 23Jan 31 -312 - Mar25-180-Aug 4- 104 - Ocitg- 72- Nov 20

CRB INDEXDec 25 - 144 - Aug 3Dec 26 - 225 - May 5Dec 30 - 72 - Oct 19Jan 6-156-Aug 3Jan 7 -2BB - Mar25Jan 10 - 240 - May 15Jan 17 - 90 - Oct 19Jan 30 - 260 - May 15-180-Aug 3Jan 31 - 104 - O6t tg

Jan 2-270 - Apr 7Jan 3 - 76 - Oct 19Jan 6-120 -Sep BJanT-135-Aug25Jan14-104 -Oct 2- 240 - May 20Jan16-144-Aug25Jan 17 - 90 - Oct 19Jan 1B - 360 - Jan 23Jan 20 -2BB - Apr 7Jan 21 - 135 - Sep BJan 28 - 156 - Aug 25Jan 30 - 144 - Sep B-12O -Oct 2Jan 31 - 104 - Oct '19HEATING OILDec22 - 120 - Aug 24Dec 27 - 156 - Jul24Dec 30 - 156 - Jul27- 72 - Oct 19

Dec 23 - 240 - Apr27Dec 26 - 144 - Aug 4Dec 30 - 72 - Oct 19

Jan 3-76- Oct19JanT -156-Aug 4Jan B-520 -Aug 6 86Jan12-260-Air27Jan 15 - 240 - May 20- 576 - Jun 18 BGJan 16 - 208 - Jun22- 72- Nov 5Jan 17 - 90 - Oct 19Jan 22 - 270 - Apr 27Jan 24 - 216 - Jun 22Jan 31 - 180 - May 20- 104 - Oct 19

Dec 23 - 2BB - Mar 10Dec27-135-Aug14Dec 30 - 240 - May 4

US DOLLAR INDEX

JanT -135-Aug24 Jan 5-144-Aug14Jan 9- 52-Nov18 Jan B- 90-Oct10Jan 1 1 - 180 - Jul 15 Jan 17 - 156 - Aug 14Jan 1 5 - 144 - Aug24 Jan 19 - 260 - May 4Jan 17 - 90 - Oct 19 Jan 21 - 72 - Nov 10- 60-Nov18 Jan22-104-Oct10Jan 20 - 180 - Jul24 Jan 29 -270 - Mar 4Jan 23 - 180 - Jul27Jan27-156-Aug24Jan 31 - 104 - Oct 19

Please note: This aspectarian has been designed for use with "GANNTRADER 1". The firstfigure is the_date a square falls due. The second figure is the amount of days (a multiple of thesquares of 52,90 or 144), and the third figure is the date of origin. Begin s{uares at the thirdfigure,-use the square suggested by the s-econd, and you will have a square completing on thedate of the first fiqure! This will allow you to quickly ey-eball up the relative value clf that square.Good luck and goo$frading!

Documents

GlobalTimes_Jan1988