is a fully automated trading system, developed by strategy developer and programmer Kay Stoeffler, CTO at ZefsTech Ltd.
LCPB was programmed in MQL4 as a so-called "Expert Advisor" (EA) for the well-established and widely used trading platform Metatrader 4 and is a product of several years of research, development and optimization.
In the development of LCPB, as of all other trading systems built by or for ZefsTech, focus was put on achieving long-term profitability over a wide range of tradable assets (mostly currency pairs) under the occurrence of relatively acceptable drawdowns.
The results of extensive back tests indicate a consistently profitable performance for the period of at least the last 10 years.
The LCPB EA can trade multiple currency pairs alongside other EAs provided by ZefsTech on one and the same Metatrader 4 account, being a part of a portfolio of diversified trading strategies that distribute risk across a variety of different assets and strategies and help to compensate losses and minimize drawdowns.
The LCPB strategy
(London Close Pull Back) strategy is based on the fact that the market has a tendency to perform a pull back due to profit taking around the time the London Stock Exhange closes, if at that time the price is near the session’s high or the session’s low.
EA uses a variety of methods to filter the signals.
According to back tests, the LCPB
strategy works well on almost all currency pairs except of CAD pairs.
Traded pairs and trading time ranges
On the basis of the most recent back test results, LCPB
is currently set to trade the following 20 currency pairs:
AUDCHF, AUDJPY, AUDUSD, CHFJPY, EURAUD, EURCHF, EURGBP, EURJPY, EURNZD, EURUSD, GBPAUD, GBPCHF, GBPJPY, GBPNZD, GBPUSD, NZDCHF, NZDJPY, NZDUSD, USDCHF, USDJPY
Best & worst market conditions
strategy performs best if at the time of London Close price is near the top or the bottom of the session range which ideally happens to be a strong resistance / support level.
Poor performance is to be expected if strong fundamentals are pushing price further and beyond the session high or session low after London Close, without giving the market time for a break and a decent pull back.
- Advanced London Close strategy.
- Trades multiple currency pairs on one account / platform.
- Trade frequency (with 20 pairs): approx. 4 trades per day in average.
- Lot size parameter can be set for each pair individually.
- Spread limit.
- Daily gain target and daily loss limit.
Clients of ZefsTech
can apply the LCPB
strategy to their MT4 account(s) as part of their managed trading portfolio within ZefsTech
‘s Trade Copying & Portfolio Management System
allows investors to instantly add and remove trading strategies from their MT4 account(s) and to monitor the performance, temporary deactivate/reactivate strategies and, if necessary, close all or individual positions via the "MT4 Monitor & Control Panel
More information about the TCPMS and how to sign up as an investor can be found at ZefsTech.com.
LCPB back tests
Here is an example of a LCPB
back test result:
Number of currency pairs tested: 20
Test period: 2007.01.01 – 2016.12.31 (10 years)
Risk model: 10:1 leverage / –2% daily loss limit
Initial deposit: $100,000
Total net profit: $269,430
Profit factor: 1.203
Sharpe ratio: 0.0794
Win rate: 65.15%
Max. drawdown: 15.5%
Detailed back test reports can be found on our Downloads page.