Profitable THE7 Strategy for Long-Term Trading
One popular, profitable and understandable strategy for newcomers is the forex THE7 strategy, which features affordable trading rules and is able to bring in up to 70% of the initial deposit monthly. At the same time, the trader will not have to spend much time at the monitor and analyze the schedules - it is enough to spend up to half an hour a day in the morning and in the evening and get a good Profit.
The high profitability of the THE7 strategy is due to the possibility to receive more profit from the correct signals, while the amount of loss from the loss deal is much less. On average, such a free forex strategies that work makes it possible to make 6 successful deals per month. At the same time, the ratio of TP to SL can reach 12:1, so that even when negative deals prevail, the player still remains in profit. The ratio of TP and SL allows to get up to 50% deposit in one transaction and at the same time comply with all rules of mani management.
How to prepare for trade?
To take advantage of the modernized THE7 strategy, the trader will need only one Forex indicator, which is on the list of free programs in the МТ4 - it is a moving average, however, on the screen will have to install at once 2 MA with different periods. In order not to waste your time setting the necessary parameters, you can download an archive with a template that will allow you to get a ready-to-trade terminal. The system will load the necessary trading tools into the schedule, while the user will be left to select the D1 time frame.
It is possible to do without a template - it is necessary to load to terminal 2 trend indicators Moving Average with period equal to 5, and in one moving average we choose in settings High, and in the second - Low. You can then start trading on the D1 timeframe.
Forex Trade Rules THE7
For trade it is possible to choose any currency pair - priority options do not exist, so the trader has to choose the optimal option on his own.
Open the buy warrant if the signal candle opens outside the Forex Canal and closes inside it.
Opening a SELL deal if a bearish Japanese candle opens outside the canal and closes inside it.
If the candle captures both edges of the channel from the MA, it is worth refraining from the deal.
The installation of loss stops in the THE7 strategy is performed on Lowe signal candle when purchased and Hi candle when sold. At the same time the value of loss stops is small and on average is from 15 to 40 points, so that in case of closure of the order under SL losses will be minimal.
Installation of TR is performed 400-500 points above the entry point. It is worth leaving the position as soon as the system gives the opposite signal. So despite the big Take Rufit being exposed in the upgraded strategy THE7 the trader doesn 't always make a big profit for a single deal - it ranges from 100 to 200 points on average. But such a strategy allows to get out of the market in time at reversal and to make money on it.
Trade on Pin bars
As part of this free forex strategies that work, pin bars will have to be taken into account - they are candles with a small body, and tails can be many times larger than the body of a candle. Such candles give the trader in the strategy THE7 additional signals to enter the market:
A deal opens in SELL if the pin bar body is located within the channel, with the candle tail punching the upper MA. Enter the market at the opening of the next candle within the channel.
Opening a buy deal is performed if the pin bar body is inside the channel and the tail punches the lower MA. Entry to the market is done at the opening of the next candle within the canal.
Putting SL and TR, as well as leaving the market is carried out according to the general rules of Forex THE7 strategy.
What are the subtleties of a strategy worth knowing?
THE7 is one of the most attractive day trading systems for newcomers, as it is profitable enough, easy to understand and comfortable to implement. The main thing is to comply with the following rules:
View the schedule twice a day. The first time it is worth doing at the beginning of the Pacific session at 8 am on the ICN - at this time active movement is not yet observed. It is also worth assessing the situation on the market at 8 pm on the ICS - at this time the main movement is already finished. This frequency allows not to miss any signal and to get maximum profit from transactions, as the trader will enter the market at the best time.
It is important to monitor the output of economic news, as the output of data on new GDP, interest rates or inflation can trigger a successful signal to enter the market.
The total time that will have to be devoted to trade under the THE7 strategy will be up to half an hour daily, which will make it possible to free up the rest of the time for work, study and other business.
Trading on daily time frames is a long-term category, as the trader will be able to carry out only 5-7 entries in a month, which allows to get up to 30% of profit per month from one currency pair. If there is a desire to increase profit, it is worth considering not one currency pair, but several, for example, 2 or 3 and get up to 70% per month.