HLHB Trend-Catcher 3.0
When EUR/USD trends, do you know who benefits? Me of course, thanks to the HLHB Trend-Catcher 3.0! This week, I had a total of 6 signals but only 5 valid trades. Below is a short summary of how this week went.
- Sell signal from the last update. Sold at 1.3311, closed at the close of the new crossover at 1.3207: +104 pips
- Bought at 1.3207, closed at new crossover at 1.3214: -7 pips
- Sold at 1.3214, closed at new crossover at 1.3140: +74 pips
- Bought at 1.3140, closed at new crossover at 1.3122: -18 pips
- Invalid signal, RSI was already below 50 since the last candle
- Bought at 1.3148, trade closed when trailing stop was hit at 1.3228: +80 pips
Total gain: +233 pips
I must admit, I’m really impressed at how the system is able to catch the trends (hence the name). However, I wish there was some way I could avoid getting fakeouts when the market ranges…
Perhaps some human intervention is required? But that would go against the whole philosophy of mechanical trading! Hmmm, I’ll think about this over the weekend.
Sadly, I cannot say that I am happy with how my GBP/USD trade went. My sell order at 1.5800 got triggered when the pair rallied strongly and closed above the psychological handle during the London session.
It looks like market sentiment shifted when talks about Greece getting more than enough investors to participate in its bond swap deal started to circulate in the markets. Of course, it also helped that BOE Governor Mervyn King warned of inflationary risks in the economy. The central bank didn’t hike rates but risk appetite and King’s remarks seemed enough to get the pound bulls hustlin’.
Realizing the change in fundamentals, I decided to close my trade at a loss at 1.5827. I also didn’t like how the pair is looking on the charts, trading above the 61.8% Fibonacci retracement level and making higher lows.
Sell GBP/USD at 1.5800, closed at 1.5827: -27 pips/-0.6%
I’m not the happiest kid in the block after losing this trade. However, I think I made the right decision in limiting my loss. I didn’t win on my live account this week but maybe next week will be better.
How are your trades doing? Update me!
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