Replies to post #9 on The Darvas Method

[S Chun-Li]

The algorithms at the sethi.org and gerryco.com sites DO NOT correctly identify Darvas boxes, particularly with respect to defining the bottom of the box.

Specifically, the problem is that although the bottom of the box cannot exist before the top exists, it can exist before the top is known. But the methodologies above don't start looking for the bottom, until the top is known.

Example scenario - A top is set on "Day 1" and a bottom is set on "Day 2":

On "Day 2", sethi.org & gerryco.com have not yet found the top of the box, so haven't started to look for the bottom yet. gerryco.com starts looking for the bottom on "Day 3" when it has only a tentative top, and sethi.org starts looking on "Day 4" when it has a confirmed top. Both miss the "Day 2" bottom and incorrectly define the bottom as the bottom of a later day's bar.

[leapyear92]

The book is great entertainment value but that is about it.
After reflection, one could draw the conclusion that Darvas was very lucky. And is often said, it is better to be lucky than right.

Thanks for the links, they were all I could dig up as well.
Unfortunately, you were amongst the few to express interest in Mr. Darvas so I will continue to monitor to see if things perk up. Otherwise I will let this thread R.I.P.

Thanks for your time!