Mean Reversion trading works for equities; and currencies. We saw in the last article how combining two simple ideas for equities produced a stable system over the last 30 years. Can we repeat a similar analysis for currencies? Yes! However, be warned. Currency trading is a different magnitude of difficulty to equity trading. Currency traders […]
4 Economic Indicators to help your Fundamental Trading of GBP– Part II
In this article I’ll follow up from Part I, on using the UK Services PMI to trade the GBP. The questions we’ll answer are: What economic indicators for GBP are out there and which can we use? How do you set up a macro system? What does it mean to trade a basket of currencies […]
GBP, Brexit, and Fundamentals
I’ve been asked lots of questions as to how to determine the next moves in GBPUSD. There have been many arguments for a bottoming out at the current levels, as well as for a continuation given the strength of the downward move experienced post Brexit. In this article I’ll try to get a handle on […]
Bullish & Bearish Engulfing Bars (Part III)
This is the third article in the series on trading the Bullish and Bearish Engulfing candle stick patterns. Following on from Part I and Part II, we will look at trading the short signals for AUDUSD, EURUSD, GBPUSD, USDJPY, and USDCAD. Let’s recap the results for the long side: We used hourly rolling bars to […]
Bullish & Bearish Engulfing Bars (Part II)
This is the second article in the series of trading the Bullish and Bearish Engulfing candle stick patterns. Following on from Part I, we will actually perform some backtests using the results we found in Part I. In Part I, we split up the analysis for long and short trades separately. Here we will keep […]