New month, new parameters! Switching to 1-hour charts is off to a good start, as it gained 80+ pips from three pairs. Here are the deets!
But first, read all about my HLHB Trend Catcher System if this is your first time hearing about it!
Basically, I’m catching trends whenever the 5 EMA crosses above or below the 10 EMA. 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 to weed out the fakeouts.
As for stops, I’ll continue to use a 150-pip trailing stop and a profit target of 400 pips. This might change in the future, but I’ll stick to this one for now.
Oh, and as mentioned recently, I’m switching back to applying the HLHB system to the 1-hour time frame. Using 4-hour in Q1 2017 and Q2 2017 wasn’t bad, but I think using this trend-catcher on the 1-hour could yield better results.
Without further ado here are the results from the first AND second week of September:
As you can see, the system is off to a good start with a decent 5 valid signals from three pairs. It started with a fakeout on EUR/USD, but made up for it with a winner and another open (and winning) signal before the week ended.
Meanwhile, GBP/USD took a 36-pip dent AND missed the bigger intraweek trend thanks to tons of fakeouts earlier in the week. And then there’s USD/JPY, which missed the downtrend earlier in the week but caught the intraweek reversal and has currently locked in a cool 159 pips.
Overall, not a bad way to start the return to 1-hour. We’ve locked in 87 pips from two weeks of trading! Time for a celebratory coffee, I think. 🙂