Fakeout fiesta! Thanks to USD/JPY’s tight range at the start of the week, the HLHB received a few shallow cuts.
But were they enough to put this trend-catcher in the red? I’ve got the numbers!
Before we get to the details, read all about my HLHB Trend Catcher System if this is your first time hearing about it!
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/USDThanks to a long signal from the previous week, the HLHB didn’t miss EUR/USD’s wonky but strong uptrend in the first half of the week.
What’s more, the system also caught the top of the move and validated a short signal shortly before EUR/USD erased about half of its intraweek gains.
By the end of the week the HLHB had gained a total of 162 pips on EUR/USD with an open trade that can lose a maximum of 97 pips. Woot!
Unlike in EUR/USD, the HLHB didn’t catch the anti-dollar sentiment in the first half of the week.
In fact, the system even caught what looks like a fakeout on Thursday! The trade is open for now but so far it doesn’t look good for any momentum on the pair.
USD/JPYCheck out that fakeout fiesta! The ADX was above the 23 filter on Monday just as the 100 and 200 SMAs decided to behave like they partied over the weekend.
USD/JPY’s prices not only closed last week’s trade, but it also produced FOUR valid signals that led to a 67-pip loss on the pair.
At least the last remaining open trade can only lose 63 pips. That’s something, right?
Here’s a summary of this week’s results: