As you can see, there was an upward crossover last week. It would’ve been a profitable trade, but the HLHB system rules state that I cannot enter if Stochastic is already overbought. So, no trade for me!
I know, I know… I need to make some changes on my HLHB system. While it is profitable as evidenced by my stats for 2010, it misses a lot of great setups. As I’ve said, what I need to do is make some small tweaks it so I can get more signals while maintaining profitability.
A lot of you had awesome suggestions, and I’m going to put them to the test once I have the time. I’ll probably be busier in the coming months in my new job as an assistant manager. Yep! I got promoted! But perhaps I can get some of my programmer friends to make an EA out of them.
As for the market, the focus was on Libya all throughout the week. The dollar initially benefited from the ongoing conflict in the Middle East when risk aversion kicked in. However, as oil prices surged, so did rate hike bets.
From what I’ve read, it seems like traders think that some central banks will be forced to increase interest rates to counter rising commodity prices. Too bad for the dollar, the Fed isn’t seen jump in on the hawks’ bandwagon anytime soon. Consequently, this put the dollar under selling pressure.
I checked out our economic calendar and noticed that a few central banks, including the ECB, are due to announced their interest rate decisions next week. If we hear hawkish comments from them and if tensions don’t ease in the black crack hub, we may see the dollar continue its trip to the bear lair!
That’s all I have for you guys now. Hopefully we’ll see more action from my HLHB system next week. Have a great weekend!
And oh! Thanks again for encouraging me to apply for the job! If I could, I would give you all an Oscar award for being the sweetest readers ever! XOXO