There have always been people who insist that Financial Astrology gives them an edge in the markets. They are wrong, but you just can’t convince them of that.
The most notable of the astrology trading gurus’s is W.D. Gann.
Now, I can save you some time and tell you that Gann astrology is like all the movements of the stars and planets… does not affect the stock market in any way shape or form.
There is some evidence that phases of the moon have an effect on markets – see this paper
But the stock market is literally a million variable equation, no single factor influences it enough to matter (except maybe the Fed).
It simply defies logic that astrology could be used to predict things.
Every time someone puts forth this idiocy I ask them to google what percentage of NYSE volume is run by bots.
Currently around 70% give or take of all stock transactions are run by machines.
Do you really, seriously think that a stock buying algo attempting to accumulate at VWAP is influenced by the moon position, or by Uranus rising?
Twaddle. Utter crap.
Here’s the thing. Humans are pattern matching monkeys. We evolved for it. We BRED for it. Those who saw patterns in data survived. Our monkey curiosity evolved us to the top of the food chain.
So as an unintended result we see patterns, even when they don’t exist.
