EFC Strategy

1 Concept The strategy uses EFC indicator (https://info.tradingstrategyguides.com/optin12677085 https://info.tradingstrategyguides.com/optin12677085)) to detect reversal points Basic idea is to open position as a reversal trend is detected. As soon as RSI divergence is detected, EA puts buy/sell stop order at the level, which the price should reach to be sure the new trend starts

Note: EA does not draw orange/blue/green/red orange/blue/green/red bars on its own. If you want to see the EFC pattern colorized you need to add EFC indicator to the same chart

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2 Strategy parameters









2.1 Signals 

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Working timeframe. By default, EA uses current timeframe of the chart, but you can fix the timeframe to the value you want. In this case EA will be using specified timeframe all the time, no matter which current period of the chart is chosen RSI Period, RSI Applied price, Overbought level, Oversold level. These parameters are similar to EFC Indicator’s parameters

2.2 Trade opening parameters  

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Trade time: start hour, end hour. By default EA works 27 hours a day. You can specify which hours are allowable for opening trade. Buy/sell orders allowed. If you are sure that trend will go in certain direction and are no going to open opposite trades on retracements, retracements, you can disable buy or sell orders. Be default, both type of orders are enabled Close current position on opposite open signal. If set to true, EA will forcedly close current position (if it exists, of course) if the opposite signal will trigger. For example, EA is going to put Buy stop order as it expects long trend coming soon. If the short position is still opened, EA closes it before putting buy stop order. In fact, this case is very seldom. Usually, opposite position automatically closes much earlier than new opposite signal occu rs.

2.3 Take profit and stop loss settings 

Stop loss offset, points. By default, stop loss is set right to the highest/lowest price which was found during the pattern. For example, this is how the standard stop loss is calculated









Using the “Stop loss offset” parameter you can shift stop loss farter or closer to the entry. Positive numbers mean shifting farther, negative – shifting closer. In the example above positive offset would mean moving the stop loss higher. On “nervous” market it is recommended to set some positive offset in order to

filter jerky callbacks of the price.









Here is clear, that distance between stop loss and entry price is too small. Even a tiny fluctuation of the price will stop out our position. Using “Minimal possible stop loss value” parameter we can limit the shortest distance. The value of this parameter depends on instrument, time frame and style of trading and must be set according to your preferences  

Break even, pts (0-disabled). This is the value of break-even: when the stop loss must be moved to opened price. By default, this feature is disabled. Take profit calculation mode #1; Risk:Reward (1:X); Take profit, points. These parameters declare the rules for profit calculation. There may be two methods to calculate the profit -

Calculate using stop loss and risk:reward ratio. In this case take profit is calculated on the fly according to the stop loss and specified ratio (see parameter “Risk:Reward (1:X)”). For example, if the stop loss if 100 points and the parameter “Risk:Reward (1:X)” is 3, then take profit will be 300









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Use profit capitalization. When checked, initial lots will be corrected according to the profit achieved. 

Balance, associated with specified initial lots, $. It is required to set the initial deposit, which is associated with specified lots amount. For example, the deposit is $10 000 and initial lots amount = 1. When deposit becomes $11 000, lots for opening position will rise to 1.1 and so on

2.5 Notifications 

Draw signal marks. If true, up and down arrows will be drawn at each bar where the buy/sell signal appears

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Show alerts. If true, alerts will be generated for each buy/sell signal

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Send signal notifications. If true, push notification will be sent on each s ignal generation











3 Examples of the EA working 3.1 Setting sell stop order when the EFC pattern is found









3.2 Re-setting stop orders as old trend keeps going









3.3 Filling stop orders









3.4 Stop at break even









3.5 Closing the half of the position simultaneously with moving SL to break even















































EFC Strategy

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