The7 Trading System
Hello, dear traders, I am glad to welcome you to the forex portal again! Many of us have heard the saying that profitable deals should be 3-5 times bigger than losing ones. But who follows this principle in practice, only honestly?
I am sure that units. Today we will analyze the trading system The7, which in fact will show you the power of the rule “Limit losses and let profit grow”.
The7 forex strategy features
Currency pairs: Any
Trading time: Once a day, after the close of the daily candle
Recommended DC: Alpari, RoboForex
Successful system trading The7 impossible without information on the following aspects:
Set ema 5 to High and ema 5 to Low on the chart. We enter sales when the bear candle closes inside the channel. It should open at the top, outside the channel. Exception for pin bars.
We do the same at the entrance to the purchase, changing the conditions for the bullish candle. We enter the market after the close of the bullish candle, while its opening should be below the lower border of the channel from moving averages. Do not forget about the pin bars.
Visually, the input conditions are visible in the screenshot below (increases by click).
We set Stop Loss just below / above the Low / High signal candle.
Exit a deal
We exit the market when conditions arise for the opposite transaction. Moreover, the conditions for entering the opposite transaction must be fully satisfied (see the description of additional filters below).
In addition to the basic conditions for entering the transaction, we also monitor candlestick patterns and levels, performing additional filtering.
- If the signal candle has a long shadow in the direction of the transaction (or at both ends) - we do not enter.
- If the signal candle touches both borders of the channel, we do not enter.
- If the support / resistance level is very close to the price path, or if the round price level (1.3100, 0.9000, 1.5000, etc.) is not included.
- A pin bar, an absorption model, the presence of a support / resistance level as a support are confirming factors that strengthen the signal.
- At the weekend, you can not close.
The optimal level of risk is 1-2% per trade. According to The7 trading system, you will receive quite a lot of small losing trades. Therefore, risking a large lot in one transaction is simply stupid. There may well be 3-5 losing trades in a row - this is normal. Watch the video and you will see that only 1 profitable trade covers a lot of losses. So do not do stupid things and put a reasonable lot.
You can calculate the position size in accordance with the risk expressed in% of the deposit using the Master Money Bot tool.
Trading system The7 based on the classic trend following model. It will never become obsolete, can be used on any tools, and the logic underlying it is understandable even to a child. Therefore, you have every reason to be sure of long-term success with this forex strategy. All that is required of you is competent management of risks, emotions and the ability to recognize Price Action models. Well, 15 minutes a day to analyze the charts 😉
Important! Nuances of installation in the new Metatrader 4 builds