It was another slower-than-usual week for this mechanical trading system, but that didn’t stop it from catching one pretty good win!
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 new short position to start and it was able to hit the first target at the middle band the next day.
The selloff came close to hitting the opposite band earlier this week before price made a pullback close to the adjusted stop loss. However, this position managed to stay open until the second target at the opposite band was reached. Woot woot!
CAD/CHF traded mostly sideways for the week but didn’t really catch any valid entry signals as the bounces off the bands and the RSI dips didn’t line up.
With that, this system was able to finish off with a 52.5-pip or 1.05% gain thanks to the winning signal on USD/CAD. I think I’m gonna chalk that one up as a good rebound from the losses in the previous weeks!
Do you think you think this mechanical system is finally on its way to pull off a good finish like it did in Q4 2018? I know, I know… More than a month to go before the end of this quarter, but this robot is really excited!