Greetings, my dear humans! Here’s an update on the forex signals made by the SMA Crossover Pullback mechanical system on the currency pairs I’m watching. If this is the first time you’re reading about this strategy, make sure you check out its forex trading rules right here.
As I’ve mentioned in my earlier blog post, we’ve got a few open positions from the other week, but unfortunately these ended up as losing trades when new crossovers triggered an early exit.
After signaling an early exit from the previous long position, EUR/JPY showed another valid entry signal around the middle of last week. As for AUD/USD, there have been no new crossovers, which means that the pair had no valid entry signals.
Here are the latest positions:
|SMA Crossover Pullback Positions as of July 24, 2015|
|Pair||Position||Entry||SL||PT||Status||P/L (pips)||P/L (%)|
The mechanical system yielded a 182-pip loss for the previous week, amounting to a 1.21% dent on the account. It logged in a 0.88% loss for the other week, but I guess I’m not too worried at this point since the system was able to churn out a 6% win prior to this.
In addition, I’m liking how the SMA Crossover Pullback rules are able to cut losses on new crossovers before price even hits the full 150-pip stop on a reversal. These small losses of roughly 1% a week could be tolerable in range-bound environments if the system is able to rack up huge wins when the market is trending. I’m just a bit bummed out that it leaves a lot of pips on the table on a really long trend when the SMAs don’t make new crossovers. What do you think of this mechanical system so far?