One more set of signals on this mechanical trading strategy and we’ll be ready to round up the quarterly numbers. Take a look!

If this is the first time you’re reading about this strategy, I suggest you take a look at the system rules before reading on.

Also, this version makes use of an adjusted stop loss size (from the original 20% of the first candlestick to 40% of its length) on both USD/JPY and GBP/JPY.

First up, here are the signals on USD/JPY:

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

Zooming in to the short-term time frames allowed me to see if stops or targets were hit.

usdjpy inside bar

Three positive positions out of five? I’ll take it! The last long position is still open, though, so it could turn out either way. For now, the pair was able to rake in 73 pips in gains and the percentage win depends on how position sizes were calculated.

And here are the inside bar signals for GBP/JPY:

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

Here’s how these signals turned out:

gbpjpy inside bar

Yipes, not one of its best runs! The first position hit its full stop for an 81-pip loss while the winning short play only yielded a 25-pip gain. That’s a total of 56 pips in losses for this pair, amounting to a meager 17-pip gain for the strategy in the past week.

If this strategy ain’t your cup of tea or if you’re looking for one that might be more appropriate for current market conditions, you may wanna check these out, too:
SMA Crossover Pullback System
Short-Term Bollinger Reversion
HLHB Trend-Catcher System
Happy Hunter Trading System
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