The wisdom and profit one can gain by studying history is proven by professionals in every field of study. This includes doctors who study medical successes and failures, as well as war generals like George S. Patton who defeated his enemies because he studied the strategies and tactics of Julius Caesar and Alexander the Great. Clearly, it is today’s students of yesterday’s trends and patterns who are pioneering the breakthroughs of tomorrow.

History’s tendency to repeat itself is a phenomenon written into the laws governing nature. And it can be seen most clearly in the financial markets.When we determine where a market has come from and its historical context, we’re then able to determine the most probable direction the market will go in the near and distant future.

The greatest practitioner of historical analysis in the financial markets was the legendary investor and trader W.D. Gann. He pioneered his theories in the early 1900’s and refined them until his death in 1955.