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.
SMA Crossover Pullback
Robopip’s newbie-friendly SMA Crossover Pullback trading system 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.
There wasn’t much bearish follow-through on the positions left open from the other week, leading to early exits and a 262-pip loss or 1.73% dent on the account. Ouch! 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.
Just when it seemed poised for another losing week, the system caught a big win on a long CAD/CHF position, ending up with a 30.5-pip gain or 0.61% win on the account. 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 mech system snagged a few more wins on USD/JPY and also on Guppy, yielding a neat 52-pip win for the week. 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 had a bit of a slow start as he spotted close calls but refrained from taking positions. Later on in the week, he bagged 43 pips on a long trade, even though it didn’t hit its profit target. Read more.
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.
In this week’s update, Huck’s system recovered from last week’s hiccup to register a whopping +362 pips from closing three open trades. Not bad at all, huh? Read more.
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 flavors:
- 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. 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.
And after last week’s disappointing run, both Variants were able to rake in some gains, with the Fixed TP Variant up by 1.25% for the week and the Trailing Variant up by an impressive 3.14%. Read more.
Forex Systems Summary
|Mechanical Trading System||Time Period||P/L in pips||P/L in %|
|HLHB Trend-Catcher System||Sept. 17-21||+362||+1.21|
|Happy Hunter Trading System (Fixed TP Variant)||Sept. 17-21||–||+1.25|
|Happy Hunter Trading System (Trailing Variant)||Sept. 17-21||–||+3.14|
|SMA Crossover Pullback System||Sept. 11-18||-262||-1.73|
|Short-Term Bollinger Reversion Strategy 2.0||Sept. 13-20||+30.5||+0.61|
|Inside Bar Momentum Strategy||Sept 12-19||+52||–|
|Cowabunga System||Sept. 10-14||-4||–|
In case you missed it, check out how the Forex Mechanical Systems Showdown turned out last week!