← All legends
Nicolas Darvas
The Self-Made Trader
Box Theory — Volatility Boxes + Momentum
18%
historical hit rate
A professional dancer with no formal finance training, Darvas turned $25,000 into $2.25 million in 18 months using his self-invented Box Theory. He traded remotely from hotel rooms around the world via telegram. His system: identify price boxes, buy breakouts above the box on expanding volume.
“I have no ego about being right or wrong. I just have a system and I follow it.”
Key Rules
- Draw a box around the consolidation high and low
- Buy only when price breaks above the top of the box
- Volume must be high on the breakout
- Stop loss just below the bottom of the box
- Only buy stocks making new all-time or 52-week highs
- Never look back — let the stop manage the trade
Signature Patterns
Darvas Box Breakout
Stacked Boxes
New High Breakout
Legend AI implements Nicolas Darvas's published methodology for educational pattern detection. Not affiliated with or endorsed by Nicolas Darvas. Not investment advice. Full disclaimer →