Bollinger Band Squeeze Strategy for Swing Trades
r/SwingTradingstocksSwing (daily, 5-10 days)by reddit_community
Bollinger Band squeeze + Keltner Channel confirmation. Enter on first close outside BB after squeeze. Works on ETFs and large caps. 5-10 day holds.
ENTRY RULES
BB bandwidth in bottom 10th percentile of last 120 bars | BB inside Keltner Channel confirms squeeze | Enter long on first close above upper BB | Enter short on first close below lower BB | Volume must increase on breakout
EXIT RULES
Take profit when BB expands to 90th percentile bandwidth | Stop loss at middle BB (20 SMA) | Trail stop using lower BB (long) or upper BB (short) | Exit if price re-enters BB after breakout
INDICATORS
Bollinger BandsKeltner ChannelVolumeBandwidth
ORIGINAL POST
195
r/SwingTradingposted by reddit_community
Bollinger Band Squeeze Strategy for Swing Trades
When Bollinger Bands squeeze tight (bandwidth below 10th percentile of last 120 bars), a big move is coming. Wait for the breakout direction, then enter. Combined with Keltner Channel — when BB is inside KC, the squeeze is confirmed. Enter on first close outside the upper (long) or lower (short) band. Works amazingly on ETFs and large-cap stocks. Average hold 5-10 days.
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