Forex System Update: SMA Crossover Pullback (Sept. 19-23, 2016)

Finally a big win for the SMA Crossover Pullback System! And one that’s more than enough to make up for its earlier losses. If you’re wondering what I’m talking about, make sure you look at the trading rules and risk management adjustments first.

In my update last week, EUR/USD had a new downward crossover but it wasn’t until the middle of the week that the pair followed up with a stochastic pullback signal.

EUR/USD 1-hour Forex Chart

EUR/USD 1-hour Forex Chart

Cable made a short pullback signal towards the end of the previous week and the selloff carried on until price hit its full profit target. Woot woot! *happy robot dance*

GBP/USD 1-hour Forex Chart

GBP/USD 1-hour Forex Chart

AUD/USD had a short position opened towards the end of the previous week but this had to be closed for a small loss when a new crossover formed. So far, no pullback signals have materialized yet.

AUD/USD 1-hour Forex Chart

AUD/USD 1-hour Forex Chart

Lastly, EUR/JPY finally made a convincing crossover, followed by a stochastic pullback short signal. However, this position had to be closed before the end of the week when the 150-pip trailing stop was hit.

EUR/JPY 1-hour Forex Chart

EUR/JPY 1-hour Forex Chart

Trade Summary:

SMA Crossover Pullback Positions as of Sept. 23, 2016
Pair Position Entry SL PT Status P/L  (pips) P/L  (%)
GBP/USD Short 1.3250 1.3400 1.2950 Closed +300 +2.00
AUD/USD Short 0.7515 0.7665 0.7215 Closed -75 -0.50
EUR/JPY Short 113.60 115.10 110.60 Closed 0 0
EUR/USD Short 1.1230 1.1380 1.0930 Open

With that, the SMA Crossover Pullback system ended the week with a 225-pip win or a 1.50% gain on the account. A bit of range-bound action was still in play for the euro pairs but fortunately the pound exhibited a strong selloff that took GBP/USD to its profit target.

Next week, I’ll be wrapping up the mechanical system’s performance for the quarter so make sure you stay tuned to see how the numbers add up. See ya then!


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