This strategy was off to a slow start for Q3 as it kicked things off with a signal-free first week of July. It was able to catch a couple of good signals in the past few days, though.
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 fresh long signal on July 9 that, slowly but surely, climbed all the way up to the top band to hit the full target.
Here’s how it turned out:
Woohoo! That’s a relatively large gain for the pair. Off to a strong start, I’d say!
CAD/CHF also had just the one signal for the week, and this also made it all the way up to the upper band.
And here’s how it turned out:
Sure, it pales in comparison to the big win on the other pair, but it’s still a win nonetheless!
All in all, the strategy was able to catch 113.5 pips for both pairs for a total of 2.27% for just a couple of signals over a few days. It may be a bit early to call it but if this keeps up, this quarter could be on track to beating its Q2 2018 performance.