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Strategies & Market Trends : The Darvas Box Thread - Using the Nicholas Darvas system

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To: MechanicalMethod who wrote (451)11/25/2002 6:31:58 PM
From: booters  Read Replies (1) of 498
 
Wellllll............never mind (hehe)

A) When the price of a rpidly rising stock reaches a resistance point which it does not surpass for 3 or more conescutive days, that point represents the top of the box.
B) If, after falling from the upper limit, the stock reaches a downward resistance point which it does not penetrate for 3 or more consecutive days, that level represents the bottom of the box.

According to those rules I am VERY wrong. It does appear to be as simple as a 3 bar HH/LL (almost). So he has devised a rule set for trading that simple indicator. Very interesting to me since it is one of my all time favorites and is the basis for the "Bootsbox". Hmmm...that is interesting also since I never knew about his until after I developed mine. Mine is a good bit different but is based on the same type of channel. Maybe the two combined might be worth looking at. Will have to do that.

boots
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