You win some, you lose some! This week’s set was more or less an even mix of reds and greens, but did the system end up positive overall?
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 started off with a fresh short position, but this had to be closed and reopened on a new signal. Fortunately the second one made it all the way to the middle band then to the opposite one, before a long signal materialized.
The bullish moves were a bit slower, but the pair did manage to make it to the middle band again to lock in some wins and have the stop adjusted to entry. This was eventually closed out before another long signal popped up.
Here’s how these turned out:
Thanks to that good win that snagged 65 pips or 1.30% in gains and another small gain that followed, the pair was able to make up for a rough start and a full loss. USD/CAD ended up with a 33.5-pip win or a 0.67% gain for the week.
And here are the signals on CAD/CHF:
The pair had a long position left from the earlier update that hit its first target at the middle band. The remaining half had to be closed at entry when price retreated. A couple of short signals came up later in the week, and here’s how these turned out:
All in all, the strategy was able to escape with an 18.5-pip win or a 0.37% gain for the week. ICYMI, check out its Q2 2018 performance and how other strategies are faring in the latest Forex Systems Showdown!