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Strategies & Market Trends : The Darvas Box Thread - Using the Nicholas Darvas system -- Ignore unavailable to you. Want to Upgrade?


To: Iceberg who wrote (270)1/26/1999 11:07:00 AM
From: jan_mike  Read Replies (1) | Respond to of 498
 
Ice,
I don't know if he addressed it directly in his other books. In the 2m book, he mentioned bailing out of one that seemed to have lost it's will to rise anymore. So his patience had limits too.

I think we're back to his era vs. our era again. If a high flying tech stock like Oracle takes a breather for a few weeks, I would think it's a hold. Probably depends what it looked like coming into the box. An old time dividend cranker could probably stay in a box for two years without a complaint from it's stockholders.

Having acquired the vast wisdom I have (not), I'm a little more patient than I used to be. What I don't want to do is hold one that's sliding back slowly. The boxes and stops may be a bit fuzzy in my definition, but their purpose is very alive to me. Whatcha selling?
Mike




To: Iceberg who wrote (270)1/26/1999 4:33:00 PM
From: Dow Beater  Read Replies (1) | Respond to of 498
 
Right at the outset, Darvas said that he was determined to find stocks that were moving up. Not just a small spurt, but stocks that were moving up. What does this translate to in relation to your question : "In other words, if one buys into a stock as it enters a new box and the price remains in that box, how long does the Darvas method call for waiting on the stock to move out of its box? Days, weeks, months, years, decades, centuries, indefinitely, on into infinity, or what?" If it isn't moving up, it's not a Darvas stock. As soon as you determine it isn't a Darvas stock, sell – win , lose or draw.
-- Dow Beater



To: Iceberg who wrote (270)1/26/1999 11:00:00 PM
From: woodstr  Read Replies (2) | Respond to of 498
 
Mind if I jump in here?

In the book 2m (pages 51 and 52) Darvas talked about, if it was not
a "Lively stock" he wasn't interested and on page 52 he stated that
sometimes a stock stayed in a box for weeks.

If I'm not mistaken, in the TA world a horizontal pause in the
trend is not so bad......gets out the people who don't want to
ride it out and it usually continues in the trend it was heading
in prior to the pause.

thanks
woodstr