Two Bands Reversal

Two Bands Reversal is a forex strategy that find the conditions for trading when there are extreme oscillation of price between two Bollinger Bands.
Time Frame 15 or higher.
Currency pairs: EUR/USD, USD/JPY, EUR/JPY, GBP/JPY, AUD/USD, USD/CAD, AUD/JPY, EUR/NZD, NZD/USD.
Forex Indicators:
Bollinger Bands (period 20, deviation 2.0);
Bollinger Bands (period 100, deviation 2.0).
Trading rules Two Bands Reversal
Buy
When the upper band of the Bollinger Bands (20 – 2.0) breaks the upper band of the Bollinger Bands (100 – 2.0), wait that the price come back into the Bollinger Bands (100 , 2.0). Open a buy order at the opening of the next bar.
Place initial stop loss at the previous low swing.
Make profit with ratio stop loss 1.4 (example SL 20 pips, profit target= 28 pips) or when the price touches the opposite band of BB (20, 2.0)
Sell
When the lower band of the Bollinger Bands (20 – 2.0) breaks the lower band of the Bollinger Bands (100 – 2.0), wait that the price come back into the Bollinger Bands (100 , 2.0). Open a sell order at the opening of the next bar.
Place initial stop loss at the previous high swing.
Make profit with ratio stop loss 1.4 (example SL 20 pips, profit target= 28 pips), or when the price touches the opposite band of BB (20, 2.0)
In the chart below the examples.
Two Bands Reversal

Two Bands Reversal

Two Bands Reversal

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