Package: Bi-Directional Darvas Method
By popular demand, a complete, flexible
implementation of Darvas-style trading that operates
in both directions.
What It Is
A
complete new package with function, indicators, and
strategy written from the ground up to apply the
Darvas trading concepts to both long and short
trading.
Trading in both directions is a departure from the
specifics that Darvas himself presented in his most
famous book 'How I Made $2,000,000 in the Stock
Market', but the idea of charting a sequence of
Darvas boxes in both ascending and descending
markets and trading in accord with them is one that
seems naturally intuitive to many.
However, the notion is trickier than it seems!
At
issue in such a scheme is how to decide when to be
looking for ascending boxes and when to be looking
for descending boxes. We can't appeal to
Darvas for algorithmic cannon here, since this is
not how he traded. In fact, there is
definitely more than one way to do it - and my
package is coded with several alternatives, as well
as giving you a very clear code structure into which
you can plug alternatives of your own.
What You Get
 | A
flexible and accurate Bi-Directional Darvas Box indicator, for
charting the Darvas boxes. |
| A
Bi-Directional Darvas Channel indicator, specially
designed for Chart or RadarScreen use. |
| A
complete Bi-Directional Darvas strategy that will
backtest, report, and trade upon any symbol or any
timeframe according to the Darvas principles.* |
| A
set of TradeStation workspaces to help you "load
and go", incl. specific workspaces for
stocks, futures, and forex. |
|
Daily and weekly RadarScreen workspaces, and
RadarScreen template file |
The
Darvas Package is delivered as
full
source code, so you can see exactly how
it is done and customize it for yourself in the
future if you should ever feel the desire to do so.
The
Bi-Directional Darvas Package works with stocks,
futures, and forex on weekly, daily and intraday
charts, with TradeStation® 8.1, Build 3162 or later. Also
works on tick/share/volume charts, subject
only to the visual limitation** imposed by lack of
sub-minute timestamps.
And, of
course, you get
Customer Support as needed to get it all
running.
What It
Looks
Like
Here's a picture showing two alternative
Bi-Directional Darvas interpretations near a daily
turning point for ER2:
See
the difference? It's a matter of under what
conditions you start to accept boxes in the new
direction.
Notice the green and red dots in the center of the
bars on the upper charts. These represent the
current "bias". Along with the built-in
(optional) display of pivots and the confirmation
"C" you are able to see exactly when and why your
choice of algorithm draws a new box. 3
different algorithms are built in, and you can
easily add your own with all the display
confirmation "automagically" happening for you.
All
the underlying mechanics are implemented in a
function, and so are identically available to the
indicators and to the included strategy.
Here's a picture of the Bi-Directional Darvas
strategy in action on a 200 tick chart:
With this package, you will be able to research
Bi-Directional Darvas-style trading in a fully
comprehensive way, for all your markets of choice on
all your timeframes of choice.
Here's a picture showing a daily Darvas RadarScreen.
The RadarScreen shows the top and bottom prices of
the last box, the latest close, and where that close
lies as a percentage distance towards the breakout
direction of the last box. The color coding
makes it a snap to sort and isolate stocks in full
breakout mode up or down (green or red LBPct) , stocks poised
for breakout in their box (white LBPct), and stocks of no current
interest (gray LBPct).
Innovations
In
addition to bread-and-butter Darvas-style breakout
trading, this strategy offers flexibility and
innovation:
|
Choose to enter above or below the box-top
breakout level by a variable percentage of the box
height |
|
Add-on size (or not) to an open trade as unbroken
boxes progress upwards |
|
Variable lot size, and max lots allowed |
|
Choose to chase the market or not when a new box
confirms after price has already broken out |
|
Time of Day filters and Daily profit/loss targets
for intraday use. |
|
Variable base pivot strength (default of 3,
but the choice is yours!) |
|
An optional custom internal stop-loss based upon a
percentage of the strategy's winnings to date,
along with a kick-in floor (great for preserving
the gains of pyramiding) |
|
Test serial number stamping of report output |
What It Costs
$350
gets you the most powerful, flexible, professionally
coded Bi-Directional Darvas Package available
available to the public anywhere.
How You Get It
This package will be emailed
to you after your PayPal payment is processed.
Please be aware of the
caveats
before you order.
Notes:
* The Darvas Strategy produces comprehensive
report output (ready to load in Excel), including
performance data and strategy input settings for
each symbol upon which you run the strategy.
The Darvas Strategy is also designed for and ready
to interact with our Macro Express symbol list driver
macro, allowing
you to run the strategy across any list of symbols
to generate comprehensive multi-market test results.
** A
sequence of tick bars may all have the same
date/timestamp. Boxes whose termination is
triggered by later bars in such a sequence will be
displayed as terminating on the first bar of the
sequence. This is a visual effect only, and
will not affect strategy entries and exits.
| 
