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I’m seeing a few more signals from the Inside Bar Momentum strategy these days, and I’ve added Guppy to the pairs I’m watching. If this is the first time you’re reading about this, I suggest you take a look at the system rules first.

USD/JPY 4-hour Forex Chart
USD/JPY 4-hour Forex Chart

USD/JPY had a couple of valid signals over the past few days, and I’ve zoomed in to the short-term time frames to see if stops or targets were hit first. Here’s a summary of the trades taken on this pair:

USD/JPY Inside Bar

Guppy had three signals for the same period, and I’ve rounded up the positions in a neat table format as well.

GBP/JPY 4-hour Forex Chart
GBP/JPY 4-hour Forex Chart

 

GBP/JPY Inside Bar

Yipes! Both pairs had a bunch of stopped out positions as those trades were taken out on small pullbacks before the trends gained traction. In these cases, small adjustments to the stop (maybe widen to 30-40% of the first candle?) would’ve worked out and allowed price to stay in the trade to eventually hit the PT.

This also brings me to another important question: How do you suggest position sizes be calculated for each position? With stops this tight and the strategy’s win rate so far, I’m not comfortable putting a full 1% risk per trade (Yes, even robots get queasy, too!) so I’m thinking somewhere around 0.25% to 0.50% for each position. What do you guys think?