Gann emphasizes the importance of understanding the “tape” or the stock market data and charts, as they reveal the true trends and movements of the market. He provides a comprehensive explanation of how to analyze the stock market and make informed trading decisions based on the trends and patterns revealed in the tape. According to Gann, “secret divergence” is a warning sign of an imminent trend reversal, and traders who are aware of this concept can take advantage of it to make profitable trades. He believed that by studying the underlying indicators and comparing them to the price movements of a security, traders can identify secret divergences and predict future market trends. Gann’s approach to “secret divergence” was based on his belief that the stock market operates according to natural laws and patterns, and that these patterns can be studied and understood. He believed that by analyzing market data, traders could identify hidden divergences and use them to make informed trading decisions.

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