I’ve crunched the numbers on the Inside Bar Momentum Strategy 2.0 for Q2 2019. Did this mech system end up positive overall?
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.
Note that I’m assuming 1% risk per position in crunching the percentage gains and losses. Here’s the tally for USD/JPY:
For this pair, the system still wound up with an impressive 15.30% gain or 159 pips. It scored slightly more winning trades than losing ones this quarter, chalking up a decent 58.33% win rate.
Its maximum winning streak of six trades also churned out a much larger win of 8.41% compared to the max drawdown in its longest losing streak at 4.80%.
Here’s how Guppy turned out:
GBP/JPY was able to cop a total of 289 pips and a 17.18% gain on the account, close to the previous quarter’s total. That’s all thanks to 21 winning trades and a 63.64% win rate, plus a larger average win vs. average loss.
This pair’s longest winning streak was also particularly impressive at six trades and a total of 7.30% in gains. Its max drawdown of 2.15% for three consecutive losses doesn’t seem too bad in comparison.