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This mechanical trading strategy had a bunch of new signals opened recently, but did these positions make up for a dismal run earlier on? Or did it dig a deeper hole?

If this is the first time you’re reading about the SMA Crossover Pullback system, make sure you look at the trading rules and risk management adjustments first.

EUR/USD was stopped out in its short position the other week, before a bullish crossover took place and generated a valid long signal later on.

EUR/USD 1-hour Forex Chart
EUR/USD 1-hour Forex Chart

Unfortunately, euro bulls barely gained an upside traction before bears took over once more, leading to an early exit on a new crossover for a small loss.

Cable had a short position left open from the earlier update and this one had the trailing stop locking in gains along the way. Price started pulling up from its sharp dive in the days that followed, though, so the early exit was also triggered.

GBP/USD 1-hour Forex Chart
GBP/USD 1-hour Forex Chart

EUR/JPY also had a short position left open but price action chopped this way and that, leading to a new crossover early exit.

EUR/JPY 1-hour Forex Chart
EUR/JPY 1-hour Forex Chart

The moving averages were oscillating, so another bearish crossover quickly followed, generating yet another short signal that might be closed early… again!

Here are the latest positions:

Trade Summary:

SMA Crossover Pullback Positions as of November 27, 2018
Pair Position Entry SL PT Status Pips %
GBP/USD Short 1.2986 1.3136 1.2686 Closed +113 +0.75
EUR/JPY Short 128.52 130.02 125.52 Closed -3 -0.02
EUR/USD Long 1.1378 1.1228 1.1678 Closed -44 -0.29
EUR/JPY Short 128.70 130.20 125.70 Open

Ha! I thought this strategy was gonna chalk up another losing week, but that trailing stop on Cable caught decent gains. Overall, the system wound up with a 66-pip gain or a 0.44% win on the account.

This isn’t the droid comeback I’m looking for, but I’m still relieved that the mech system managed to avoid a loss this time. Even though I’m a bit worried about the sideways price action, especially on EUR/JPY, I’ll keep my robot fingers crossed that trending conditions return so the strategy could get out of this funk.

In the meantime, check out how this mechanical system fared for Q3 2018 and how other strategies are faring in Forex Ninja’s Systems Showcase.