Read all about my HLHB Trend Catcher System if this is your first time hearing about it!
Fakeout galore! EUR/USD ranged for most of the week, so it’s not surprising that we saw a couple of fakeouts from the Trend-Catcher System. In fact, only signal #5 yielded a positive trade, which wasn’t enough to cover the losses from signals 2, 3, 6, 7, and 10.
|1||Sell||1.2955||1.2955||0||RSI was already below 50|
|4||Buy||1.2950||1.2950||0||There was no crossover|
|8||Buy||1.2923||1.2923||0||There was no crossover|
|9||Sell||1.2913||1.2913||0||There was no crossover|
|11||Sell||1.2918||1.2918||0||RSI was already below 50|
|12||Buy||1.2929||1.2929||0||There was no crossover|
What’s worse than a couple of small losing trades? A few big losing trades, that’s what. Though the HLHB System did a pretty good job at filtering some fakeouts, those that did escape the filter ended up as pretty significant losers. After two 54-pip losses and a 47-pip hit, the system took a 155-pip backstep from GBP/USD. Yipes!
|1||Sell||1.6098||1.6098||0||RSI was already below 50|
|2||Sell||1.6088||1.6088||0||RSI was already below 50|
|5||Buy||1.6125||1.6125||0||RSI was already above 50|
|6||Sell||1.6220||1.6220||0||There was no crossover|
|7||Buy||1.6256||1.6256||0||There was no crossover|
|8||Sell||1.6234||1.6234||0||There was no crossover|
|9||Buy||1.6256||1.6256||0||There was no crossover|
|11||Buy||1.6271||1.6271||0||RSI was already above 50|
Obviously, it wasn’t a good week for trend-catching. Hopefully next week’s data will be better. Fingers crossed! 🙂