This strategy may have caught fewer than usual signals in the past week, but did it end up positive overall? Take a look!
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.
USD/CAD had a couple of good runs in the past weeks but it wasn’t as lucky this time around.
Here’s the short signal turned out:
CAD/CHF also had a strong performance the other week but was stuck in consolidation last time. Volatility picked up and a couple of signals were generated.
And here’s how these turned out:
Fortunately the long position hit the first target at the middle band and had the stop trailed to entry before that drop ensued!
All in all, the strategy was able to catch 42 pips or 0.84% for CAD/CHF but wound up in the red since the 50-pip or 1% loss on USD/CAD brought the total to -8 pips or -0.16%.