Partner Center Find a Broker

This wasn’t exactly the best of weeks for this mechanical trading system as trends didn’t last long. Did the early exits trim losses?

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 short position left open in the earlier week, but the pair didn’t head much lower from there.

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

Instead, price went straight up to hit the full stop loss before a new crossover could even trim the losses.

A long signal soon followed as Stochastic pulled up from the oversold area, but this position doesn’t seem to be doing well either.

GBP/USD also had a short position from the previous update, and this also unfortunately hit its stop loss when price zoomed straight up.

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

Soon after, a long signal popped up when a bullish crossover was followed by Stochastic climbing out of the oversold area.

Price has since tumbled but appears to be finding support at the 200 SMA dynamic inflection point.

As for EUR/JPY, its short position fared relatively better than that of the other pairs as price didn’t rally high enough to snag the stop loss. It managed to wait until a new crossover took place, closing the position with a teensy tiny gain.

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

A long signal came up later on, but it could get closed early on this looming bearish crossover.

Here’s a look at the latest positions:

SMA Crossover Pullback Positions as of October 20, 2020

Pair Position Entry SL PT Status Pips %
EUR/USD Short 1.1770 1.1820 1.1470 Closed -150 -1.00
GBP/USD Short 1.2998 1.3148 1.2698 Closed -150 -1.00
EUR/JPY Short 124.08 125.58 121.08 Closed +4 +0.02
EUR/USD Long 1.1848 1.1698 1.2148 Open
GBP/USD Long 1.3072 1.2922 1.3372 Open
EUR/JPY Long 123.81 122.31 126.81 Open

With that, the SMA Crossover Pullback System lost 296 pips or 1.98% for the week. Ouch!

In case you missed it, I’ve crunched the numbers for Q3 2020 lately. Check it out!