The system caught a valid signal for USD/CAD and closed its open CAD/CHF position this week. Can you guess what happened to the two positions?
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 traded on a wide range and eventually caught a short signal at a top Bollinger Band.
Price dropped almost as soon as the signal materialized and stalled at the first profit target at the 50 EMA. It then went on to touch the bottom Bollinger Band and hit the trade’s final profit target.
This left USD/CAD with a 57-pip win (+0.1.14%) win for the week and no open trade to carry over the next few days.
Meanwhile, CAD/CHF briefly traded above the top Bollinger Band where it caught a short signal.
CAD/CHF traded on a tight enough range for the rest of the week without hitting the bottom Bollinger Band.
This means that the system has gained an average of 12 pips (+0.24%) from the trade and no open position to watch over the next trading sessions.
Have you seen how the numbers turned out for Q2 2020 yet? Oh, and don’t forget to check out Forex Ninja’s Systems Showcase in case you missed it!