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It’s a bit of a mixed run for this strategy, as it caught another early exit on one pair but also has a risk-free trade going in for another.

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 bearish crossover in the earlier update, and it took a while before Stochastic reached the overbought zone then turned lower for a short signal.

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

Now I’m a bit concerned that this might be too late for a pullback signal since the pair already moved several pips down after the crossover.

The moving averages still seem to be keeping a safe distance, though, so I’m hoping this is just one really large correction in the middle of the selloff.

Cable had a long play open in the previous update, but it wasn’t really going so well as the moving averages were gearing up for a bearish crossover then.

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

The long position had to be closed for a loss when the crossover was completed, resulting in an 81-pip dent for the pair.

This was then followed by a Stochastic pullback signal to short, and this doesn’t seem to be going too well either. Bah!

As for EUR/JPY, its short play from much earlier on is faring pretty well as the downtrend is still going. In fact, the price drop was enough to have the trailing stop activated, making this a risk-free play for the pair.

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

Here’s a look at the latest positions:

Trade Summary:

SMA Crossover Pullback Positions as of April 28, 2020
Pair Position Entry SL PT Status Pips %
GBP/USD Long 1.2500 1.2350 1.2800 Closed -81 -0.54
GBP/USD Short 1.2325 1.2475 1.2025 Open
EUR/USD Short 1.0788 1.0938 1.0488 Open
EUR/JPY Short 117.16 118.66 114.16 Open

This puts the SMA Crossover Pullback System down 81 pips or 0.54% for the week, adding to the losses so far this month.

Rough start for this quarter, huh?

Check out how this system fared in Q1 2020 and how it’s holding up to other mechanical systems in Forex Ninja’s weekly showcase!