BolliToucher Reversal Trend is an intraday trading strategy designed primarily for the forex market, but also suitable for binary options trading. It is optimized for Renko charts—enhancing reliability and profitability when applied with appropriate brick sizes.
Entry Parameters
To begin trading, you’ll need:
- Currency pairs: Any major, minor, or exotic pair—including cryptocurrencies
- Timeframe: M5 or higher (for binary options, use a 3-candle expiry); for Renko charts, set brick size to 3 pips or more
- Trading session: London and/or New York hours
- Risk management: After calculating stop-loss, adjust position size so that risk per trade does not exceed 2–5% of your account balance
Indicators Used
The strategy relies on the following indicators applied to the price chart:
- Bollinger Bands (Period: 20, Deviation: 2.5)
- BolliToucher (Period: 20, Deviation: 2.0)
- RSI Filter (Period: 2)
- Renko Scalp Indicator (Parameters: 4, 12, 7)
- Slow Stochastic Oscillator (20, 3, 5)
Chart Setup
A ready-to-use template is provided in the archive at the end of this article. Installing it ensures correct indicator placement:
- Extract the archive
- Copy the template file into the
templatesfolder - Copy all indicator files into
MQL4 → indicators - Restart your MetaTrader terminal
- Open the desired currency pair chart
- Apply the template named BolliToucher
Your chart should appear as follows:
Long Entry Signals
To enter a long position, wait for all of the following conditions:
- Price bounces off the lower Bollinger Band;
- Stochastic crosses above level 20 from below;
- A white square appears on the RSI Filter indicator;
- A white square appears on the Renko Scalp indicator.
Short Entry Signals
To open a short position, confirm all of the following:
- Price bounces off the upper Bollinger Band;
- Stochastic crosses below level 80 from above;
- A purple square appears on the RSI Filter indicator;
- A purple square appears on the Renko Scalp indicator.
Stop-Loss and Take-Profit Placement
- Place stop-loss just beyond the relevant Bollinger Band (above the upper band for shorts, below the lower band for longs);
- Set take-profit near the middle Bollinger Band line.
To improve win rate and expectancy, only take trades aligned with the prevailing trend—confirmed on higher timeframes (e.g., H1 or H4).
Before deploying the BolliToucher Reversal Trend strategy with real funds, test it thoroughly on a demo account.
Download BolliToucher Reversal Trend template and indicators
FAQ
What timeframes work best with BolliToucher Reversal Trend?
M5 and higher (M15, H1) are optimal; for binary options, use 3-candle expiry; for Renko, set brick size to ≥3 pips.
Can I use this strategy on cryptocurrency pairs?
Yes—any volatile instrument works, including BTC/USD, ETH/USD, and other crypto pairs, provided liquidity and spread allow precise execution.
How do I confirm trend direction before entering a reversal trade?
Check price action and Bollinger Band slope on H1 or H4: rising bands + higher highs = uptrend; falling bands + lower lows = downtrend.
