This trading strategy caught a bunch of valid signals on both USD/CAD and CAD/CHF so far. Read on to see how the positions turned out!
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 valid short signal left open in the earlier update, but this didn’t really turn out well as price hit the full stop loss.
Another short signal came up on a test of the upper band, and this one eventually made it to the full profit target at the opposite band. Woot woot!
Here’s how those plays turned out:
CAD/CHF had a long position opened early in the week, and this quickly busted through the first profit target at the middle band before hitting the second one at the top band.
A new short signal was opened almost immediately, and this also reached its full profit target at the opposite band.
However, the pair chalked up one small loss after another as valid long signals popped up on tests of the bottom band while price was trending lower.
The last position is still open, but here’s how the rest went: