Loonie pairs chalked up big moves recently, but was this system able to make profits off those? See for yourself!
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 was trending lower for the first half of the week, dipping to the bottom band but not generating any valid long signals… fortunately!The pair started to consolidate later on, then eventually caught a long play that bounced to the middle and top Bollinger Bands.
With that, USD/CAD was able to score a full win and end the week with a pretty good 30-pip or 0.60% gain.
Meanwhile, CAD/CHF had three valid signals this week.
The first short position had to be closed early, though, as a new sell signal popped up after a few candles.After a bit of consolidation, the pair dropped to the middle band to catch the first profit target and have the stop adjusted to entry.
Soon after, the pair resumed its slide and reached the full target at the opposite band. Woot woot!
A valid long signal came up almost immediately, and this managed to score pips at the middle band before hitting the adjusted stop loss.
Here’s how it all turned out:
CAD/CHF was able to close out with a 19-pip or 0.38% gain for the week.
With that, the Short-Term Bollinger Reversion strategy ended up with an 49-pip or 0.98% gain for the week, chalking up another consecutive winning week.
Seen how the numbers turned out for Q3 2020 yet?