Darvas Box Setup
Nicolas Darvas's mechanical method. Identify a 'box' as a horizontal range bounded by a recent new high and the subsequent pullback low. Buy the breakout above the box top; sell if it breaks below the box bottom.
Target before stop: 18% reached +20% before −8% within 40 sessions. Sample: n=60 eligible setups. Average: -0.2% per setup (-0.03R).
Source-bar window: 2025-03-17–2026-09-04. Entry requires an executable breakout fill after the signal; unresolved setups receive the full replay window. Historical and illustrative, not predictive. No brokerage slippage, fees, taxes, or individualized sizing.
How this is measured →Setup Criteria
- › Stock making new 52-week highs
- › Defines a box: high (resistance) + 3% buffer below (support)
- › Box typically forms over 1–4 weeks
- › Volume should expand on breakout
- › Buy near 52W high, not on dips
Breakout above the box high with volume.
Below the box low — strict, no exceptions.
Worked Example
ADM — flagged as a Darvas Box on Sep 11, 2026 (score 80). 26 weekly bars with the 10-week SMA.
Entry / stop / target annotations are drawn for Pro members. Unlock →
Historical detection shown for education — not a current recommendation.
Today's Darvas Box Setups — 2 found
| Ticker | Setup score | RS score | Trend |
|---|---|---|---|
| ADM Archer-Daniels-Midland Company | 80 | 70 | ✓ |
| VGT | 55 | 69 | ✓ |
