SEFC Trading System trending strategy

Good day, dear readers of ForTrader.org. Today we are going to look at one of the most popular strategies on foreign websites called SEFC Trading System. Googling information about this trading system, I did not find its description in Russian, so let's consider it unique in the Russian-speaking segment. But given that I have been in the market for a long time, I had to meet with this trading system more than once. My first encounter with it was like most beginners, through registering at my broker's affiliate link (before everything new was distributed that way, and then the brave or disappointed people shared the materials on forums). The same system components, that is, indicators, are actively distributed on forums, but the system itself, I have not met.

Input parameters

• Currency pairs: any, the main ones are recommended
• Timeframe: M15-H1
• Trading hours: 24 hours a day
• Type of strategy: Indicator, Trend

Installing the SEFC Trading System strategy

SEFC Trading System strategy is installed in the standard way. If you have done everything correctly, the desktop of your terminal should look something like this:

Used indicators

SEFC Trading System strategy consists of eleven indicators: eight of them influence the decision to enter the market, the other three are informers. The trading system, at first glance, is heavily overloaded with indicators, but during the analysis you realize that all the indicators are chosen competently, complementing and filtering each other's signals.

• SEFK10-trading indicator is displayed as yellow and blue lines above and below the price, drawing local support levels and resistance.
• Signal arow - this indicator is the author's, it draws arrows up and down (entry points).
• SEFK 05 - this indicator looks like two lines of red and green with shading between them. Green strokes between the lines - a bullish trend, orange - a bearish trend. The indicator is a modification of the well-known Cross MA signal indicator. Like its predecessor, it is based on the crossing of two moving averages, the only thing that has been changed is its graphical representation. In the parameters it is possible to enter any used values of moving averages (everyone can optimize parameters for himself).
• Bbands_Stop - the indicator is shown as a yellow or green line with dots and arrows up or down. This indicator was created on the basis of Bollinger Bands and is used with parameter 15. This parameter can be optimized for the market. Its arrows are entry points and the bars themselves are a filter. The indicator in green is a bullish trend, in yellow - a bearish trend.
• SEFK bulls-bears - the indicator is located in the first additional window and is displayed as red or green bars. In this system it acts as a filter: red bars - only sell, green - only buy. SEFK bulls-beras is based on two standard oscillators MT4 trading platform: Bulls Power and Bears Power. The only setting parameter is the period, just like in standard indicators, so a trader can optimize it for himself.
• Filter 1 - this indicator is located in the second additional window and looks like a red and green histogram. It performs the function of a filter. In the settings you can set the period of the indicator (thus optimizing it for yourself), as well as turn on the sound signal.
• Filter 2 - the indicator is located in the third additional window, it is displayed as a red and green histogram. It performs the function of a filter in the system. In the settings you can set the period of the indicator, as well as the number of bars, on the basis of which the mathematical calculation will be carried out. The higher the number of bars - the more accurate the signal, but on the condition that you have a sufficient amount of historical data. Otherwise, the indicator will give false signals.
• Signal - the indicator is located in the fourth additional window in the form of red and green bars. It performs the function of a filter. In the settings, you can set the period, as well as to enable an audible notification.

I will not describe the meaning of informers, they are already visually clear.

SEFC Trading System buy signals

Enter to buy when a number of these conditions are met at the same time:

• The SEFK10 indicator draws a gray support level (either push back or break through this level).
• The SEFK 05 indicator has crossed or is currently crossing two moving averages. The shading between the moving averages is green.
• The Bbands Stop indicator line is green, and a green up arrow has appeared.
• The Signal arow indicator draws an up arrow in blue.
• The SEFK bulls-bears indicator bar is colored green.
• The histogram of the Filter 1 indicator should be green.
• The histogram of the Filter 2 indicator should be green.
• The Signal indicator bar should be green.

The indicators are overdrawing, so we only enter a position on a closed bar.

SEFC Trading System Sell Signals

We enter the sale if a number of these conditions are met at the same time:

• The SEFK10 indicator draws resistance level yellow (either push off or break through this level).
• The SEFK 05 indicator has crossed or is currently crossing two moving averages. The shading between the moving averages is yellow.
• The Bbands Stop indicator line is yellow, and a yellow down arrow has appeared.
• The Signal arow indicator draws a white down arrow.
• The SEFK bulls-bears indicator bar is colored red.
• The histogram of the Filter 1 indicator should be red.
• The histogram of the Filter 2 indicator should be red.
• The Signal indicator bar should be red.

The indicators are overdrawing, so we only enter a position on a closed bar.

Exit a position. Setting Stop Losses

Stop Loss I recommend to set the classical way - on local minimums or maximums. Also you can put a stop loss on the levels, which gives the strategy itself, but in my experience, in this system, they should not be trusted. Exit the position on the opposite signal indicator Bbands Stop (when the arrow in the opposite direction). Also, the author offers an alternative way out using the formula 1 to 1.5, that is, for example, stop-loss - 30 points, Take Profit – 45.

Money Management

Proper money management is the key to stable and profitable trading. The risk per position should not exceed 2%. If for some reason you are not familiar with money management, I recommend you to read useful articles on this subject on our website.

The reviewer's conclusions

While analyzing the SEFC Trading System strategy, I dare to suggest you to throw the Signal arow indicator out of the system, since it both overdraws and is not actually connected to any indicators from the system. The only time I recommend using it is when looking for a point to add to your position. Although the SEFC Trading System strategy is overloaded with indicators, it has not become more complicated, so, I think that both beginners and professionals can deal with it. Have a good trend, gentlemen)

Download SEFC Trading System template and indicators

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