Since you are long bead like me you deserve one another answer:
Also fromFrom another point of view I noticed something. If you don't use Memcache you don't need Varnish. Varnish is "pasato", since not planning to support spdy for a long time as Varnish author said once.
Also I see that your caching layer is actually on application layer. The W3TC plugin you are using.
Still you may add to your configuration. I haven't saw that.
location ~* \.(jpg|jpeg|png|gif|ico|css|js)$ { expires 365d; } Also improve what you allow on your web server.
## Only allow these request methods ## if ($request_method !~ ^(GET|HEAD|POST)$ ) { return 444; } ## Do not accept DELETE, SEARCH and other methods ##