Darvas Box Trading Strategy (Tested 100 Times) | How He Made $ 2 Million

Hello everyone and welcome back to TradeSmart! In todays video I will show you how Nicolas Darvas a Hungarian dancer turned $35.000 into $2.000.000 within a few months in the stock market, trading the Darvas Box strategy. First I will show you the original strategy then a simplified version of it. After that I will backtest it 100 times on Bitcoin to see if it's still a profitable trading strategy. At the end of the video I will show you the results and give you 2 optimization tips which can make this strategy better.

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Historical results does not guarantee future profits.
None of the strategies presented on this channel are trading or financial advice, I am not a financial advisor. Do your own research before using any strategy for live trading.

[chilidog]

To increase the profitability, you need to add positions at each new darvas box until you get a box that breakout opposite the trend. That's what darvas did.

[health]

Darvas' success was much more than discovering the so-called Darvas box.
It included careful stock selection, waiting for the particular momentum, managing risk, AND (!!!) position adding of the winning trade.
Darvas had an unmatched ability for self-correction and emotional self-regulation.
One of the main reasons (among other things) why he made so much money is that he pyramided the winner.
He also was waiting for a particularly high relative strength stock with high momentum. If momentum was slowing down he would not pyramid it. Etc... You can't "backtest" the Darvas strategy's fine details. The Devil is in the details.
He did not trade just 52 weeks high, but rather an all-time high. You can't mechanically short Darvas box (lol)
Darvas box strategy always works when it is allied correctly.

[mohammedasiri]

many channels upload many indicator every day but all are not good, you are the only one who choose the best indicators and explain every thing thanks thanks and thanks a million man and waiting for more

[homerixy]

WTF you using bitcoin for with this strategy? Lol

What is the MA Length of Volume Indicator?

[OrenLikes]

Last trade to become winner, you suggested using opposite mark - sell - but it was above the 200ema...
Can you elaborate, please?

[cspinelli]

Thanks for doing the backtest, but my problem with this analysis is that you are not letting "the winners ride." which was somenthing very important to Darvas.

[chrisc]

Thanks a lot for this valuable information, a lot of work put into it. Appreciate

[keirancharlesworth]

You should overlay the BTC price on the equity curve for a better comparison

[saitama]

Moving average bands 7:49. You are welcome.

[michaelmathews]

The Darvas box works better with stocks and is in an uptrend. Give it a shot on stocks rather than on crypto.I also noticed that your stop loss is too large. Darvas that very title stops.

[forextiger]

Need to apply on the correct stock. The strategy will improve.

[AM-eero]

No wonder, you didn’t apply Darvas strategy properly. It’s only supposed to be used on highs. Not shorts

[frankbraun]

Maybe add a couple indicators, ADX for volume and Parabolic SAR for exit.

[ragsmm]

Sorry I’m new to this and learning. What app are you using to see the history and add the indicators?

[istvan]

Szia! Nagyon tetszenek a videóid! Remek jó ötlet van benne! A discord csoportnak van sima linkje, vagy a patreonnal kapja meg a támogató? Van magyar nyelvű szoba? Az angol tudásom nem valami fényes.

[Thegalaxy]

time took more than a year fior 15 % ??

[PeterSniff]

does it also "works" on lower timerframes? Like 30min, 1H

[BoxerDogs]

At 3:53 and 4:43, how do you determine where to take profit?

[Trumppump]

how i find the ema there are 100 of them this what you show i cant find