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

To: Dow Beater who wrote (273)	1/26/1999 5:57:00 PM
From: Iceberg	Read Replies (1) \| Respond to of 498

>?" 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, That sounds fine, but how do you determine when a stock is not "moving up"? Obviously if a stock goes into a higher box its going up, and if it goes into a lower box its going down. But what about a stock that stalls in its highest box? I was under the impression that Darvas assumed a stock was going up as long as it either stayed in its highest box or moved into the next highest box. As I recall from his book, he said he didn't care what a stock did WITHIN a box. From that, I took it to mean he'd sit on a stock until it either 1.) went into a higher box, in which case he'd buy more, or 2.) he got stopped out - which ever came first. [At least that's the approach I've been using up until today when I sold out of GAC.] If there were instances where Darvas bailed out of stocks that never ventured out of the box where he initially bought in, I missed it. I'll have to go back to the book and check on that. Regardless of what Darvas did or didn't do, the common sense approach you suggested seems reasonable and as I understand it, is this: if the thing isn't blasting off, bail out. Kinda like being in the cockpit of a space shuttle in launch position just prior to blast off and the thing just sits on the pad and smolders, fizzles and sputters...at some point you have to say, hey! Something ain't right. We're outta here! <g> Ice