34# Better Bollinger Bands
Bollinger Bands Breakout
Submit by Janus Trader 05/2017
Better Bollinger Bands is trading strategy based on breakout of the upper/lower bands. In other words this is the classic Bollinger Bands strategy but with modified BB and Squeeze, MACD indicators.
Time Frame 5 min or higher.
Currency pairs: any.
Better Bollinger Bands (period 18, deviation 2.0)
XPS Trend bars,
Moving average 200 (long trend ),
PBF Squeeze (filter),
MACD 2 line (12, 26, 9).
Trading Rules Better Bollinger Bands
Price close above the upper band of Bollinger Bands.
XPS bar aqua color.
MACD 2 line crosses upward.
PBF Squeeze Histogram green above zero level.
Price close below the lower band of Bollinger Bands.
XPS bar pink color.
MACD 2 line crosses downward.
PBF Squeeze Histogram red below zero level.
When MACD or PBF are flat do not trade.
In this strategy is also important to apply Multi time frame analysis for choose the currency in trend. For example if you trade on 30 min chart check 240 min chart that there is a trend.
Exit position options:
When MACD crosses in opposite direction;
At the levels of Pivot point for intraday trading.
Ratio sto loss 1:15.
Place initial stop loss 5 pips above/below the entry bar.
This Better Bollinger Bands improves this strategy than the normal Bollinger Bands.
You can also trade only in the direction of the Moving Average 200.
In the pictures Better Bollinger Bands in action.