HLHB Weekly Update – January 23, 2013

Oh. My. Gosh. The HLHB Trend-Catcher did absolutely terrible in last week’s trading. Seeing its performance has forced me to seek comfort in a large, cold, sugar-filled bucket of ice cream.

EUR/USD

EUR/USD 1-Hour Chart

Without any major trend, the Trend-Catcher fell victim to the pair’s volatility. The RSI didn’t exactly do a good job in filtering out fakeouts. Consequently, the system only generated trades that turned out to be like all my ex-boyfriends–losers. (Haha! I’m just kidding, I promise!)

1. Invalid signal. RSI was not below 50.
2. Long at 1.3366. Closed due to new crossover at 1.3357. -9 pips.
3. Invalid signal. RSI was not below 50.
4. Long at 1.3384. Closed due to new crossover at 1.3350. -34 pips.
5. Invalid signal. RSI was not below 50.
6. Long at 1.3311. Stopped out at 1.3361. -50 pips.
7. Short at 1.3259. Stopped out at 1.3309. -50 pips.
8. Long at 1.3304. Closed due to new crossover at 1.3284. -20 pips.
9. Short at 1.3284. Closed due to new crossover at 1.3291. -7 pips.
10. Invalid signal. RSI was not above 50.
11. Invalid signal. RSI did not crossover 50.
12. Invalid signal. RSI was not above 50.
13. Short at 1.3283. Closed due to new crossover at 1.3304. -21 pips.
14. Invalid signal. RSI was not above 50.

Total Gain/Loss in Pips: -191 pips. (I die!)

GBP/USD

GBP/USD 1-Hour Chart

The same sad story went on in GBP/USD. There were a lot of crossovers, but all of them, save one, were either invalid or ended up as a loss. Freaking frustrating! Below is the list of all the crossovers along with their corresponding result:

1. Invalid signal since RSI was already above 50.0 prior the crossover.
2. Invalid signal since RSI was already below 50.0 prior the crossover.
3. Invalid buy signal. RSI below 50.0.
4. Another invalid signal. RSI was already below 50.0 in the candle prior the crossover.
5. Long at 1.6089. Closed at 1.6076 due to new crossover. -13 pips.
6. Short at 1.6076. Closed at 1.6094 due to new crossover. -18 pips.
7. Invalid long signal. RSI below 50.0.
8. Short 1.6060. Closed at 1.6083 when 50-pip trailing stop was triggered. -23 pips.
9. Long at 1.6089. Closed at 1.6052 due to new crossover. -37 pips.
10. Short at 1.6052. Closed at 1.6075 due to new crossover. -23 pips.
11. Invalid long signal. RSI was below 50.0.
12. Invalid short signal since RSI was already below 50.0 in the candle prior the crossover.
13. Long at 1.6018. Closed at 1.5990 when 50-pip trailing stop was hit. -28 pips.
14. Short at 1.5967. Closed due to new crossover at 1.6008. -41 pips.
15. Long at 1.6008. Closed at 1.5993 due to new crossover. -15 pips.
16. Short at 1.5993. Closed at 1.5879 due to new crossover. +114 pips.

Total Gain/Loss in Pips: -84 pips.

Bah! Humbag! You win some, you lose some. I did win the week prior this anyway… Moving on…

XOXO,

Huck

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  • Reza Fahlevi

    many major pairs move in sideways these days, boring

  • Victor M. Herraez

    Don’t get frustrated. I think doing an automatic trading system based in indicators is an extraordinary challenge. Keep it up!

  • SwordOfManagement

    And yet you could have simply drawn a horizontal line and asked if price was generally closing higher or lower…
    You could have even took short trades using 1-2-3’s or triangles (double hooks in close proximity).
    Try trading a line chart (1 MA HL/2) and see what you can do.