Darvas Box Analysis & Darvas Box Trading Signals

Developed by Nicolas Darvas

Nicolas Darvas is a famous trader who made 2 million dollars trading the market. Darvas started with an account of 10,000 dollars and made a profit of over 2 million dollars.

This is one of the techniques which Darvas combined to form his trading system. Along with this methodology he made accurate trade decisions.

Darvas Box

Stocks Analysis and How to Generate Signals

This trading method is used to generate signals based on a simple break out strategy of the Darvas Box lines.

Bullish Signal

If the price on a chart breaks out at the top box line, then this is a bullish signal

Bearish Signal

If the price on a chart breaks out to the lower line, then this is a bearish signal.

The example shown and demonstrated below displays a bearish signal generated from the Darvas Box Indicator.

Breakout - Bearish Signal