Hey all! While you’re busy watching your $DOGE gains, I thought I would finally get around to crunching the HLHB’s Q1 2021 numbers.
I gotta say, they’re not too bad!
If you’ve just tuned in, know that the Huck Loves Her Bucks (HLHB) System aims to catch trends by using the 5 and 10 EMAs on the 1-hour charts of major dollar pairs like EUR/USD, GBP/USD, and USD/JPY.
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 as a parameter to weed out the fakeouts.
Check out a backtest that I did if you want to know more about the version that I’m using!
For now, here’s a breakdown of how the system did in the first three months of the year:
Profits were spotty for the HLHB in January when EUR/USD traded in a wide range for most of the month.
It wasn’t until late February when the pair REALLY saw one-directional price action that made pips rain for this trend-catcher.
Thanks to a few trades that yielded more than 100 pips, the HLHB was able to end Q1 2021 with a 310-pip profit (+1.03%). Woot!
Concerns over the U.K. economy post-Brexit got Like in EUR/USD, Cable traded in a wide range for most of January. Unlike in EUR/USD, though, GBP/USD didn’t see a lot of one-directional price action for the rest of the quarter.
The pair rode an uptrend for most of February and then took its time going back down in March.
The lack of strong, one-directional moves is probably why the HLHB only kept 31 pips (+0.10%) after trading 17 valid signals.
USD/JPY was a pretty good pair for a trend catcher in January and February, but tight ranges and a couple of fakeouts ended up cutting the HLHB’s profits.
March’s consolidations pretty much evened out the HLHB’s win rate and the system capped the quarter with only 10 pips (+0.03%) in the bag. At least it’s not a negative?
That’s it for the numbers in this update!
If there’s one takeaway from this quarter’s results, it’s that the system still works in times of volatility and one-directional weekly trends.
Over the next couple of months, we’ll see if the dollar can keep gaining on its counterparts. Of course, it’s also possible that we’ll see anti-dollar trends as more economies recover from their pandemic woes.
Do you think we’ll still see the same volatility from the major dollar pairs? Or will they calm down enough to only produce fakeouts from here on out?