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Strategies & Market Trends : Trend Setters and Range Riders -- Ignore unavailable to you. Want to Upgrade?

To: gaj who wrote (24730)	3/27/2003 9:20:45 PM
From: Doug Robinson	Respond to of 26752

Boxes? I don't remember boxes in this book but recollect that his method of pyramiding used a schematic form of entries written into boxes for buys of 20%, 20%, 20% and 40%. Darvas was big on boxes based on buying when a stock went into a new box at new all time highs. He didn't do very well in the 70's however, changing several of his rules. He was a Livermore fan, however. "How to Trade Stocks" was Livermore's last book before he took his life. It summed up what had worked for him and also provided some guidance as to where he had gone wrong earlier in his life. He was an amazing trader and there really wasn't anyone like him IMO. While reported to be bankrupt at the end of his life, his son was later to reveal that his mother removed three million in cash and one million in jewelry from their apartment the day after his suicide. He left a one million dollar trust fund that couldn't be touched by the bankruptcy courts. He was living in a ten room apartment on Park Avenue at the time of his death, dining in the finest restaurants in NYC. Earlier in life, rumors had him making up to 100 million in 1929 . . a 300 foot yacht, Rolls Royces, his own Pullman car, a mansion on Long Island with its own barber shop, . . these were just some of his toys. Wyckoff was a contemporary of his but wasn't in his league. Much of Wyckoff is a rehashing of what Keen, Harriman and Livermore did but he was definitely an outstanding trader. All of them made light of the technicians with their charts and beautiful patterns that failed as often as they worked. Vast resources? Perhaps one would do better if they didn't have them. The above mentioned certainly did :-)

To: gaj who wrote (24730)	3/28/2003 3:19:56 AM
From: lee kramer	Read Replies (2) \| Respond to of 26752

Hi gaj: If memory serves, Nicholas Darvas was a dancer who traveled the world to perform. He used "boxes" to trade. This must have been back in the '50's...the boxes were really crude "charts"...as a stock he followed moved up, from one "box" or price to another, he'd buy or add to his position. My sense is that he was simply following a trend and always averaging up; from his account, he was quite successful. His "method" may seem simple and crude now; but back in those days there were few good technicians and to my knowledge they were shunned by the wirehouses and funds. How things have changed. Now technicians abound. Many are not terribly helpful.