This strategy was able to catch a couple of pretty big moves on the pairs I’m watching.
How many pips did it bag this week?
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 was cruising higher during the first half of the week, then it caught a valid short signal on a test of the top band.
From there, the pair retreated from its climb, dipping to the first target at the middle band.
A bit of consolidation followed before the selloff resumed and took USD/CAD all the way down to the opposite band.That’s a full win, y’all!
Thanks to its only signal for the week, USD/CAD was able to score a pretty big win of more than 100 pips.
Meanwhile, CAD/CHF started off in consolidation, then price broke lower and eventually caught a valid signal on a test of the bottom band.
The bounce was strong enough to take the pair back up to the middle band to lock in some pips and roll up the stop to entry.
CAD/CHF inched close to the top Bollinger band but fell short by a few pips, so the position is still open for now.
It’s holding on to at least 16 pips in gains, with the remaining half-position running risk-free. I’m still hoping it reaches the full target, though!
With that, the Short-Term Bollinger Reversion Strategy is closing out with a pretty impressive 106-pip or 2.12% gain this week, adding to earlier gains.
That just means the system’s winning streak continues! If I recall correctly, this marks its 13th consecutive weekly win.
Seen how the numbers turned out for Q2 2021 yet?