Darvas methods?

Discussion in 'Strategy Building' started by grainmerchant, Sep 10, 2003.

  1. #31     Sep 21, 2004
  2. Chewy55

    Chewy55

    I know that many people around here don’t really like OmniTrader (my guess is they didn’t take the time to really learn it), but Nirvana Systems has a Darvas plug-in for OT2004 that works great. It’s not optimized so the signals don’t change, that’s one thing I don’t like about some of their other trading models.

    And some people mention that the Darvas method only works in a bull market, well I’ve found it to work very well with shorting also. But do whatever works for you.
     
    #32     Sep 21, 2004
  3. dbs119

    dbs119

  4. nkhoi

    nkhoi

    #34     Sep 24, 2004
  5. That system doesn't trade. It just draws boxes.
     
    #35     Sep 24, 2004
  6. Has anyone tried to trade with this indicator?
     
    #36     Sep 25, 2004
  7. the box did not work for me...two years ago in the ES


     
    #37     Sep 25, 2004
  8. Why not?
     
    #38     Sep 25, 2004
  9. Cutten

    Cutten

    You've missed a few critical points in the book. Firstly, what he calls the "techno-fundamental" approach. Basically this means only use the Darvas box method on stocks which have a "hot" story or concept. These are much more likely to have continual ascending congestion ranges that the Darvas method is suited to. More normal stocks will usually chop you up if you try to use this method.

    Secondly, he mentions the importance of staying out of the market once the speculative leaders start to break down and penetrate the boxes to the downside.

    Third, only return to the market when new speculative leaders emerge and start making all-time highs (or at least 52 week highs).
     
    #39     Sep 25, 2004
  10. hektor

    hektor

    #40     Sep 25, 2004