Nicolas Darvas Box Breakout [Jayadev Rana]
WHAT IT IS
A box-theory breakout signal indicator. A box forms when a high is not exceeded for a set number of bars (the top) and a later low is not undercut for the same number of bars (the bottom). A BUY prints when price breaks the box top, with the stop-loss just under the box bottom and a target at a multiple of the box height. As new boxes complete above the old ones the stop trails under each new bottom and add points are marked. Every signal carries its levels as lines until it resolves and every exit is labelled with its result.
HOW IT WORKS
1. Box construction. Hunting a top: the highest high so far becomes the candidate; when it survives the confirmation bars (default 3) it is fixed. Hunting a bottom: the lowest low after the top becomes the candidate; when it survives the confirmation bars the box is complete and drawn, with a label giving its height in percent, its levels and its length in bars. A top exceeded before the bottom confirms restarts the hunt.
2. Signals. BUY when price trades above a completed box top. Optional filters: a minimum box height and a requirement that the box sits within a percentage of the 52-week high. Short signals on breakdowns can be enabled (off by default; the original method was long only).
3. Stop-loss and target. Stop = box bottom minus a small buffer (default 0.5%). Target = box top plus a multiple of the box height (default 2x).
4. Trailing and adds. When a new box completes above the entry, the stop is raised under its bottom (never lowered). When price breaks a new box above the entry, an ADD marker and label print with the new stop, up to a maximum number of adds, and the target is raised to the new box's projection.
5. Exits. Stop or target, labelled with the percent and R result.
ON THE CHART
Boxes with their labels, box top and bottom lines while a box is complete, the 52-week high as a step line, BUY / SELL labels with entry, stop and target, entry / stop / target lines with risk and reward fills, add markers and labels, exit labels, a status table (box state and levels, breakout trigger, open signal and adds, stop and target, 52-week high) and the journal table (signals, hits, win rate, average R, best and worst, open signal R).
INPUTS
Confirmation bars, minimum box height, 52-week-high filter and window, short switch, stop buffer, target multiple, maximum adds, display toggles.
ALERTS
Box completed, BUY, SELL, add, target hit, stop hit.
INTENDED USE
Daily and weekly charts of stocks and crypto in strong uptrends, which is where the method was designed to work. It also runs on intraday charts, where boxes are smaller and more frequent.
LIMITATIONS
A box is only known after its confirmation bars, so a breakout immediately after a bottom confirms is the earliest possible signal. Narrow boxes in choppy markets produce frequent stops; the minimum height filter helps. The journal counts signals on the loaded history without costs or sizing. Educational tool, not financial advice.
A box-theory breakout signal indicator. A box forms when a high is not exceeded for a set number of bars (the top) and a later low is not undercut for the same number of bars (the bottom). A BUY prints when price breaks the box top, with the stop-loss just under the box bottom and a target at a multiple of the box height. As new boxes complete above the old ones the stop trails under each new bottom and add points are marked. Every signal carries its levels as lines until it resolves and every exit is labelled with its result.
HOW IT WORKS
1. Box construction. Hunting a top: the highest high so far becomes the candidate; when it survives the confirmation bars (default 3) it is fixed. Hunting a bottom: the lowest low after the top becomes the candidate; when it survives the confirmation bars the box is complete and drawn, with a label giving its height in percent, its levels and its length in bars. A top exceeded before the bottom confirms restarts the hunt.
2. Signals. BUY when price trades above a completed box top. Optional filters: a minimum box height and a requirement that the box sits within a percentage of the 52-week high. Short signals on breakdowns can be enabled (off by default; the original method was long only).
3. Stop-loss and target. Stop = box bottom minus a small buffer (default 0.5%). Target = box top plus a multiple of the box height (default 2x).
4. Trailing and adds. When a new box completes above the entry, the stop is raised under its bottom (never lowered). When price breaks a new box above the entry, an ADD marker and label print with the new stop, up to a maximum number of adds, and the target is raised to the new box's projection.
5. Exits. Stop or target, labelled with the percent and R result.
ON THE CHART
Boxes with their labels, box top and bottom lines while a box is complete, the 52-week high as a step line, BUY / SELL labels with entry, stop and target, entry / stop / target lines with risk and reward fills, add markers and labels, exit labels, a status table (box state and levels, breakout trigger, open signal and adds, stop and target, 52-week high) and the journal table (signals, hits, win rate, average R, best and worst, open signal R).
INPUTS
Confirmation bars, minimum box height, 52-week-high filter and window, short switch, stop buffer, target multiple, maximum adds, display toggles.
ALERTS
Box completed, BUY, SELL, add, target hit, stop hit.
INTENDED USE
Daily and weekly charts of stocks and crypto in strong uptrends, which is where the method was designed to work. It also runs on intraday charts, where boxes are smaller and more frequent.
LIMITATIONS
A box is only known after its confirmation bars, so a breakout immediately after a bottom confirms is the earliest possible signal. Narrow boxes in choppy markets produce frequent stops; the minimum height filter helps. The journal counts signals on the loaded history without costs or sizing. Educational tool, not financial advice.
免責事項
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免責事項
これらの情報および投稿は、TradingViewが提供または承認する金融、投資、取引、またはその他の種類の助言もしくは推奨であることを意図したものではなく、またこれらに該当するものでもありません。詳細は利用規約をご覧ください。