Trends picked up for both pairs I’m watching on this system, and unfortunately this meant a few losing positions.
How did it end up 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 in consolidation around the middle band before volatility picked up midweek.
The pair snagged a short position on a test of the top Bollinger Band, and this didn’t really revert back to the middle.Instead, the uptrend carried on and eventually triggered the stop loss. Ouch!
Another short signal popped up before the week came to a close, and this one was able to score some wins on the first target.
The remaining half of the position already has the stop adjusted to entry, so I’m looking at a risk-free play on this one.
Meanwhile, CAD/CHF was trending lower almost the entire week.
It caught a long signal early on, and this was able to bag some pips on the middle band before closing the rest at entry.The next long play didn’t stay open for very long since it was instantly followed by yet another bullish signal, which turned out to be a loss.
Another long signal materialized before the end of the week, and this was able to hit both profit targets. It’s just too bad that the bands were pretty narrow then, so the gains weren’t sizeable at all.
Even so, CAD/CHF managed to scrape by with a 20.5-pip or 0.41% win!
This leaves the Short-Term Bollinger Reversion Strategy with a 29.5-pip or 0.59% loss for the week due to USD/CAD’s stopped out position.
This pair still has an open trade that’s already locked in some pips and is on a risk-free run, so I’m hoping it still makes up for the loss.
Seen how the numbers turned out for Q3 2021 yet?