Fakeouts, fakeouts everywhere! Thanks to tight forex trading conditions last week, the HLHB Trend-Catcher System ended up with small losses on EUR/USD and GBP/USD. Boo!
Read all about my HLHB Trend Catcher System if this is your first time hearing about it!
With no major report from the euro zone and only a retail sales release from Uncle Sam, it’s not surprising that EUR/USD was stuck in a range all week. The HLHB System popped up 11 signals but only 7 of them were valid and only 1 of them (signal #7) churned out positive pips. By the end of the week this trend-catcher was down by a net of 25 pips from EUR/USD. Not too bad, I think.
The HLHB System had a teeny-tiny bit more luck with Cable than with EUR/USD. The pair eked out five valid signals throughout the week with only two of them turning out to be fakeouts. By the end of the week the HLHB limited its losses to a net 1 pip from GBP/USD. Phew!
Will tight trading conditions continue to define EUR/USD and GBP/USD’s price action for the rest of the month? I sure hope not! Fingers crossed for better, more trend-friendly prices this week!
P.S.: Remember to never risk more than 1% of a trading account on any single trade and to adjust position sizes accordingly. Create your own ideas and don’t follow what I do. Better yet, read the Risk Disclosure!