The HLHB Trend-Catcher System had a shaky week this week, but the open trades are showing lots of promise. Here are the forex charts!
Before we get to the numbers, read all about my HLHB Trend Catcher System if this is your first time hearing about it!
Basically, I’m catching trends whenever the 5 EMA crosses above or below the 10 EMA. A trade is only valid if RSI crosses above or below the 50.00 mark when the signal pops up. And in this version, I’m adding ADX>25 to weed out the fakeouts.
As for stops, I’ll continue to use a 150-pip trailing stop and a profit target of 400 pips. This might change in the future, but I’ll stick to this one for now.
Oh, and as mentioned recently, I’m switching back to applying the HLHB system to the 1-hour time frame. Using 4-hour in Q1 2017 and Q2 2017 wasn’t bad, but I think using this trend-catcher on the 1-hour could yield better results.
Last week’s numbers weren’t too great. And while this week’s closed trades didn’t result to positive pips either, the open trades are showing a lot more promise than in the previous weeks.
GBP/USD’s only valid trade, for example, is already up 163 pips and counting. Meanwhile, I’ve adjusted EUR/USD’s stop loss to limit its potential losses to 27 pips. Heck, even USD/JPY’s trend trade has already gained enough traction for me to move the stop loss about 60 pips away from its initial level.
Anyway, here are the numbers:
I’m pretty set in case the trend reverses over the next couple of days, but I’m still keeping my fingers crossed for a trend continuation for the week ahead!