So much for that strong start this October! The SMA Crossover Pullback system got chopped up with sideways price action on euro pairs lately.
But if this is the first time you’re reading about the SMA Crossover Pullback system, make sure you look at the trading rules and risk management adjustments first.
After hitting its targets in back-to-back positions, Cable formed another upward crossover, which was later on followed by a stochastic pullback signal to go long.
EUR/USD had a short position open from the other week, but the pair barely enjoyed enough downside momentum to get the trailing stop activated before another pullback happened.
This was followed by a long stochastic signal… that might not gain much traction either before another crossover forms. Bah!
Lastly, EUR/JPY was all over the place as its previous short position was stopped out on a new crossover. After that, the next long position was also stopped out on yet another crossover.
Here are the latest positions:
Trade Summary:
| Pair | Position | Entry | SL | PT | Status | P/L (pips) | P/L (%) |
|---|---|---|---|---|---|---|---|
| EUR/USD | Short | 1.1785 | 1.1935 | 1.1485 | Closed | -60 | -0.40 |
| EUR/JPY | Short | 132.30 | 133.80 | 129.30 | Closed | -106 | -0.71 |
| EUR/JPY | Long | 132.90 | 131.40 | 135.90 | Closed | -90 | -0.60 |
| GBP/USD | Long | 1.3190 | 1.3040 | 1.3490 | Open | – | – |
| EUR/USD | Long | 1.1850 | 1.1700 | 1.2150 | Open | – | – |
With that, the SMA Crossover Pullback strategy ended up with a 256-pip dent or a 1.71% loss on the account, erasing part of the gains in the previous week.
I don’t have high hopes for the remaining long position on EUR/USD either, as it looks like another crossover is looming and it might still chalk up a loss for the early exit signal.Cable, on the other hand, has had a stellar run for more than a month already so there could be a glimmer of hope for yet another strong win on this pair.
A bit of a shaky start for the quarter but I’m positive that it could pull off a good finish by the end of the year. A lot can still happen in the next couple of months, right? ICYMI, check out the system’s performance for Q3 2017!