UNITED
81 posts
msg #48916
- Ignore UNITED |
1/3/2007 11:11:37 PM
Is anyone using this method in todays markets??? If so,with what results???Thanks,Mike...........
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markcrisp
187 posts
msg #48919
- Ignore markcrisp |
1/4/2007 3:24:09 AM
Yes.
slight twist on it. But Darvas is my favourite trader of all time. Spoke to a relative of his a few months ago. He died in 1979 in Paris from lung cancer. What a trader. You must study all of his books.
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rharmelink
81 posts
msg #48935
- Ignore rharmelink |
1/4/2007 10:01:03 PM
If you spoke to a relative of his, do you know if any of the data below is true? I saw it posted back in 1995 when his book was being republished.
"Nicolas Darvas
Based on New York Times reports.
Hungarian born night club dancer. Entered US in 1952. By late 50s he was earning as much as $3,500 a week as a dancer.
In 1960, published book - "How I made $2,000,000 in the Stock Market". Instant hit spent over six months as best seller in New York State. Publisher called 'American Research Publications Inc.'
July 1960, NYS passed legislation making certain types of deceptive investment advertising illegal. Attorney General Louis J Lefkowitz filed a suit to prohibit sale of book and initially demanding production of financial records to justify claims.
Dec 60 - Jan 61 Came to court. Lefkowitz alleged, with audits of records that investigators had found, that actual profit was $216,000 and that was by using up to 30 collateral loans totalling over $1m. From Jul to Oct 59 AG alleged Darvas lost $65,000. Darvas was in Paris out of reach of NY law. Defence pleaded the the book was autobiography and therefore it did not matter if it was fiction. Darvas sued Lefkowitz in Paris for $5,000,000.
The first court accepted the line, but their judgement was overturned on appeal. At no time did the defence try to deny the book was fiction. The financial records were never produced. Darvas stayed in Paris out the reach of US law.
By April 1962, the stock market had had a nasty setback and the book's sales were way down. The action was settled on the basis that it was fictional autobiography and saleable as such."
Some online mentions of the above:
http://jcgi.pathfinder.com/time/magazine/article/0,9171,873372,00.html
http://www.elitetrader.com/bo/index.cfm?action=view&B_ID=36&start=6
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UNITED
81 posts
msg #48936
- Ignore UNITED |
1/4/2007 10:01:40 PM
Thanks Mark,I read his most famous one.Are the other two worth reading?? Thanks,Mike..
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UNITED
81 posts
msg #48938
- Ignore UNITED |
1/4/2007 10:47:12 PM
So what that is saying,Darvas never made $2,000,000 after all.....
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markcrisp
187 posts
msg #48941
- Ignore markcrisp |
1/5/2007 2:48:47 AM
First I have ever heard about this. I know he had 4 homes around the globe.....I cannot say whther this is true or not. I'll dig out his relatives email again and ask him about this.
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markcrisp
187 posts
msg #48944
- Ignore markcrisp |
1/5/2007 2:58:52 AM
Wel, well, well,
I never....
LOL. Unbeleivable.
Having said that his book really is a masterpiece. If he didn't trade successfully he sure wrote a book on how to do it successfully. It takes nothing away from his book I.M.H.O.
There are always 2 sides to a story and the truth often lies in the middle
I'll ask his relative about this....
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markcrisp
187 posts
msg #48948
- Ignore markcrisp |
1/5/2007 3:52:50 AM
The Time article seems like a typical news story B*S* one to me.
They should get their facts right.
They knock Livermoree off as well. Caliming his method no longer worked due to some changes with the exchanges...yes this was true when he traded the bucket shops. Where he was scalping the marekts but he then went onto trend follow and made (and lost) many million $ fortunes.
They claim he fell off after the 1929 crash....Ballony. He made a killing from the 1929 crash and a few thereafter.
They go on about Darvas's method "seeming to be identical to Livermore's.." Well bugger me. I wonder why? They both trend followed the leading stocks in bull markets....MAYBe, JUST maybe this is how the market works?
I'll wait to see if I can see the other side to this "story" but I wouldn't beleive everything the news spills out. They love a scandal..even if it just a possibiltiy of one. :-)
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rharmelink
81 posts
msg #48949
- Ignore rharmelink |
1/5/2007 3:56:00 AM
As far as it not taking anything away from the book, I agree. But I was never a big fan of the narrative in the book itself. I do like the theory behind the method though, since I utilize the CANSLIM method, which also deals with a "buy high, sell higher" methodology.
To some degree, I have always thought Darvas Boxes are similar to P&F charting, where the double-top breakouts represent the upward breakouts from the trading area of a Darvas box.
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markcrisp
187 posts
msg #48950
- Ignore markcrisp |
1/5/2007 6:21:54 AM
Darvas himself (AND Livermore) both said ther was no "secret". simply look ofr strong trends that are more liklely than not to continue in bull markets and go with them.
You can use P+F, RENKO, bar charts, line charts..what-ever. It's all the same. If the stock keeps trending....you wil make money.. What is much more important is you trade it correctly.
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