Another quick update on the Short-Term Bollinger Reversion Strategy 2.0! Not a lot of signals over the past few days for both CAD/CHF and USD/CAD, but here’s how the positions went.
In this revised version of the Short-Term Bollinger Reversion Strategy, I’m waiting for RSI to cross above or below oversold or overbought levels to indicate a bit more momentum in the direction of the trade. Make sure you review the tweaks here!
Now these are the valid signals on USD/CAD:
Ack! On the chart it seemed like a big win, but the pair actually dipped back to its original entry to hit the adjusted stop before making a push to the Bollinger band resistance later on. With that, USD/CAD only snagged 12.5 pips for the week.
Here are the ones from CAD/CHF:
This pair caught a couple of signals but the first one also got stopped out at breakeven on the remaining half before price reached the top of the bands. Another position was opened and this fared slightly better as it caught the move until the bottom band.
Still a pretty shaky run for this strategy so far as it seems to be struggling with the trends. Then again it does tend to do well in ranging markets since it’s a mean-reversion system after all.