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First update of the year! There are more days covered than in my usual update, so we’re looking at more signals today. Here are the numbers!

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 before, 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.

EUR/USD

EUR/USD 1-Hour Forex Chart
EUR/USD 1-Hour Forex Chart

GBP/USD

GBP/USD 1-Hour Forex Chart
GBP/USD 1-Hour Forex Chart

USD/JPY

USD/JPY 1-Hour Forex Chart
USD/JPY 1-Hour Forex Chart

As you can see, EUR/USD and GBP/USD showed pretty strong one-directional movements in the first trading week of the year. This is probably why the biggest profit-makers were also seen during the period.

USD/JPY also popped up two valid signals and the first one closed at a profit even though I closed it over a new signal.

Not bad overall!. I’m pretty happy with the HLHB’s strong start though I’m still looking for those tweaks that could improve its overall performance.

Taken together, I have three open positions going into next week. What’s more, they’re all dollar-bearish! GBP/USD is showing the most potential with its stop limiting my potential losses to 22 pips.

Think we’ll see further dollar weakness in the next couple of days? I know I have my fingers crossed!

Huck's Signature

Reviewing my 2018 Forex Trades
HLHB Trend-Catcher System 2018 Review