Heads up, system traders! I’ve rounded up the SEVEN mechanical forex strategies right here to see how they stack up against each other.
I’ve got a neat systems snapshot table for their latest performance down below, but keep in mind that the time periods and some trading assumptions vary among my fellow FX-men.
HLHB Trend-Catcher System
The Huck Loves Her Bucks mechanical system uses a simple EMA cross method, combined with the RSI and ADX indicators, to catch short-term trends on the 1-hour charts of EUR/USD, GBP/USD, and USD/JPY.
This weeks numbers might not have been as fantastic as last week’s, but it’s still not too shabby considering that we saw a couple of fakeouts. After closing four open trades, the HLHB gained a nice +82-pip win. Cool beans!
Happy Hunter Trading System
Happy Pip has recently ventured into mechanical trading strategies and has since come up with a day-trading system that uses HHHL, LHLL, and IB candlestick patterns for entries.
Her system comes in two types:
- The Happy Hunter Price Action System 4.0 (Fixed TP Variant)
- The Happy Hunter Price Action System 4.0 (Trailing Variant)
The Happy Hunter is currently being forward-tested exclusively on GBP/NZD, with future plans to include more pairs. Also, each and every trade generated by her system incorporates a fixed 12-pip spread to simulate real-world trading conditions on a fixed spread broker.
As for the latest updates, volatility picked up this past week, so the Fixed TP Variant managed to eke out a 0.34% gain. Overall trading conditions were still unfavorable, though, so the Trailing Variant suffered 2.14% in losses. Read more.
SMA Crossover Pullback
This newbie-friendly SMA Crossover Pullback trading system by our resident machine Robopip is as simple as its name suggests. This strategy features an SMA crossover method to gauge the trend and a stochastic pullback entry signal on the 1-hour charts of EUR/USD, GBP/USD, and EUR/JPY.
Even with a bit of sideways price action for yet another week, the strategy managed to bag a teensy 13-pip win or a 0.08% gain on the account. A win is a win, right? Read more.
Short-Term Bollinger Reversion Strategy 2.0
This Short-Term Bollinger Reversion Strategy 2.0 is one of Robopip’s newest creations and is currently being tested on range-bound pairs like CAD/CHF and USD/CAD.
It didn’t really catch any signals on USD/CAD but its back-to-back wins on CAD/CHF managed to snag an 83-pip win or a 1.66% gain for the week. Read more.
Inside Bar Momentum Strategy 2.0
Another tried-and-tested system is Robopip’s Inside Bar Momentum Strategy 2.0 which monitors purely candlestick price action, free of any technical indicators, on the 4-hour charts of GBP/JPY and USD/JPY.
This strategy also had quite a good run for the past few days since it scored three in a row for Guppy and a tiny gain for USD/JPY. All in all, it racked up 78 pips in wins. Read more.
This good ol’ classic Cowabunga System (that’s been raking in pips since ’07!) looks at the 4-hour chart for the main trend and the 15-minute chart to catch entries. It also makes use of EMA crosses, along with RSI, MACD, and stochastic indicators.
Pip Surfer caught some easy trades to start the week off but steered clear of signals occurring too close to top-tier catalysts, ending with a 21-pip win for the week. Read more.
Forex Systems Summary
|Mechanical Trading System||Time Period||P/L in pips||P/L in %|
|HLHB Trend-Catcher System||July 30-Aug 3||82||0.27|
|Happy Hunter Trading System (Fixed TP Variant)||July 30-Aug 3||–||0.34|
|Happy Hunter Trading System (Trailing Variant)||July 30-Aug 3||–||-2.14|
|SMA Crossover Pullback System||July 24-31||13||0.08|
|Short-Term Bollinger Reversion Strategy 2.0||July 26-Aug 2||83||1.66|
|Inside Bar Momentum Strategy 2.0||July 25-Aug 1||78||–|
|Cowabunga System||July 31- Aug 3||21||–|
In case you missed it, check out how the Forex Mechanical Systems Showdown turned out last week!