Another week, another set of new crossovers! Did this mechanical system catch any gains at least? Or are small losses piling up?
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 had a bullish crossover from the earlier update, and this was followed by a valid long stochastic signal. Unfortunately this occurred as price was tumbling, so it had to be closed on a new crossover.
A short position was opened soon after as stochastic headed down from the overbought region.
Cable also had a bullish crossover earlier on that was followed by a valid long signal… right in the middle of a downtrend!
Not surprisingly, this was closed early for a loss on a new crossover, which was also followed by a short stochastic signal.
EUR/JPY had a long position that was closed on a new crossover, this time for a small win. A short play was opened soon after as well.
Here’s how the positions are looking:
Trade Summary:
| Pair | Position | Entry | SL | PT | Status | Pips | % |
|---|---|---|---|---|---|---|---|
| GBP/USD | Long | 1.2933 | 1.2783 | 1.3233 | Closed | -109 | -0.73 |
| EUR/JPY | Long | 120.40 | 118.90 | 123.40 | Closed | +40 | +0.27 |
| EUR/USD | Long | 1.1128 | 1.0978 | 1.1428 | Closed | -52 | -0.35 |
| GBP/USD | Short | 1.2858 | 1.3008 | 1.2558 | Open | – | – |
| EUR/JPY | Short | 120.76 | 122.26 | 117.76 | Open | – | – |
| EUR/USD | Short | 1.1076 | 1.1226 | 1.0776 | Open | – | – |
Current market conditions still aren’t looking too good for this trend-following system as it keeps racking up losses on early exits. I’m gonna keep my robot fingers crossed that the latest batch of open positions on all pairs could see more momentum on bearish trends!
Check out how this system fared in Q3 2019 and how it’s holding up to other mechanical systems in Forex Ninja’s weekly showcase!