HLHB System Update (January 6 – 10, 2014)

Read all about my HLHB Trend Catcher System if this is your first time hearing about it!

EUR/USD

EURUSD

Unlike the previous week, the system threw a lot of signals for EUR/USD. Unfortunately, those signals were from consolidation and tight ranges. By the end of the week the small losses added up to a total of -83 pips. Boo!

TOTAL36

# Signal Open Close Pips Notes
1 Buy 1.3611 1.3641 30 New crossover
2 Buy 1.3641 1.3606 -35 New crossover
3 Sell 1.3606 1.3606 0 RSI was already below 50
4 Buy 1.3628 1.3628 0 RSI was already above 50
5 Sell 1.3608 1.3608 0 RSI was already below 50
6 Buy 1.3588 1.3567 -21 New crossover
7 Sell 1.3567 1.3605 -38 New crossover
8 Buy 1.3605 1.3605 0 RSI was already above 50
9 Sell 1.3598 1.3639 -41 New crossover
10 Buy 1.3639 1.3661 22 End-of-week trade
TOTAL -83

GBP/USD

GBPUSD

The system’s losses were marginally higher with GBP/USD than with EUR/USD. We only saw 8 signals throughout the week but there were more losers than winners. They all added up to a 91-pip loss by the end of Friday!

# Signal Open Close Pips Notes
1 Sell 1.6398 1.6420 -22 New crossover
2 Buy 1.6420 1.6399 -21 New crossover
3 Sell 1.6399 1.6399 0 RSI was already below 50
4 Buy 1.6420 1.6402 -18 New crossover
5 Sell 1.6402 1.6416 -14 New crossover
6 Buy 1.6416 1.6463 47 New crossover
7 Sell 1.6463 1.6500 -37 New crossover
8 Buy 1.6500 1.6474 -26 End-of-week trade
TOTAL -91

Ranging environment is the HLHB Trend-Catcher System’s enemy! Crossing my fingers for a better week next week :)

XOXO,

Huck

Follow me on MeetPips.com

Follow me on Twitter

Like my page on Facebook

  • doniks

    Im wondering is it possible to make the system ignore signals that are against the overall trend? Maybe it would prevent some of the false signals.

    • Hucklekiwi Pip

      Well, the system throws signals at SMA crossovers to possibly catch new trends early on. If we only trade with the trend we’ll most likely catch it late. But hey, if it’s more profitable why not, right? Do you have ideas on how to just trade with the trend? :)

  • Jacques

    The HLHB system definitely has something going for it, but as you proved above, it suffers in a ranging environment. I have been training my eye to spot the buy and sell signals and have noticed the same thing, especially concerning EUR/USD and GBP/USD – at times the trend is just not long enough. A thought, if I may, have you considered using your system at the 4h interval. If you were to scan the period 6 – 10 Jan 2014 it does appear as tough a 4h time frame would have been more profitable. I am not hinting a 4h time frame is better than the 1h, they both have their advantages and disadvantages, yet it seems when the market ranges, as it did here, the 4h does filter out some of the noise.

    • Hucklekiwi Pip

      Thanks for your advice, Jacques.

      I’ll take note of the 4-hour charts and maybe write something about it on my next updates if something interesting pops up over the next couple of weeks.

      Do you also use the HLHB system? :)

  • Jacques

    I only read up on it recently and it is a system I want to try and have been keeping tabs on how it might perform. I enjoy your blogs about it and am convinced it might be profitable. Your 2013 performance was pretty decent, more than 2000 pips, nothing to frown over.

    • Hucklekiwi Pip

      Thanks for reading my updates! I hope we see a better year for the system this year. Crossing my fingers for big trend trades! :)

  • Steve

    I thought you were updating your system to only trade when the ADX >20. Would that have made a difference?

    • Hucklekiwi Pip

      Hey Steve!

      I tried using ADX before but I ended up catching too few signals or a lot of false breakout ones. It’s still back to the drawing board for me on that one!