I’m seeing strong trends on Cable and EUR/JPY for the past few days, but was this forex mechanical strategy able to catch any of those moves? Take a look!
After hitting its full profit target last week, Cable carried on with its stellar climb for a few more days. Unfortunately, since there were no new crossovers, this strategy wasn’t able to take advantage of the sustained bullish momentum and left some pips on the table.
EUR/USD was still stuck in Chopsville as the long position left open from the other week barely enjoyed any upside action before the pair tumbled and hit its stop.
A new downward crossover was formed right after and a short stochastic pullback signal followed, but the pair seems to be having second thoughts about selling off.
Lastly, EUR/JPY showed stronger upside momentum after making that upward crossover late last week and getting a pullback long signal. Yen pairs continued their climb for the most part of this week, allowing the trailing stop to get activated while price moves within striking distance of its profit target.
Here are the latest positions:
|Pair||Position||Entry||SL||PT||Status||P/L (pips)||P/L (%)|
With that, the SMA Crossover Pullback strategy ended up with a 150-pip loss or a 1.00% dent on the account, partially erasing some of the gains chalked up in the previous week.
I know the numbers don’t look so good right now, but I’m still feeling pretty good about the strategy’s performance since the trailing stop on EUR/JPY is already locking in pips along the way.The pair just missed its target by 10 pips on that pop higher, so I’m keeping my robot fingers crossed that it makes another attempt and hits the goal this time. If not, it would have at least 140 pips in the bag with the trail or could lock in a bit more if a new crossover happens before the adjusted SL is reached.
I’m a bit nervous about the EUR/USD position, knowing that the FOMC meeting is coming up this week and could mean spikes in either direction for the pair. Then again, I shouldn’t be worrying about fundamentals since this one’s a mech system, right?