Noon Barbari
Sign up

← Back to compare

Bollinger band reversion strategyvsEqual Highs/Lows strategy

Bollinger band reversion strategy: Fade a 2-sigma stretch below the mean and exit when price tags the middle band. Β· Equal Highs/Lows strategy: Fade the stop-hunt β€” short EQH sweeps, long EQL sweeps, exit on the next liquidity event.

Mean reversionLong only

Bollinger band reversion strategy

Fade a 2-sigma stretch below the mean and exit when price tags the middle band.

Mean reversionLong & short

Equal Highs/Lows strategy

Fade the stop-hunt β€” short EQH sweeps, long EQL sweeps, exit on the next liquidity event.

Indicators

  • Bollinger Bands (period 20, Οƒ Γ— 2)
  • Equal Highs/Lows (swing 3, threshold 0.1)

Timeframes

15m1h4h
15m1h4h

Bias

Long only

Long & short

Market fit

Range-bound

Range-bound

Entry rules

  • Enter long when close is below the lower Bollinger band β€” a 2Οƒ stretch below the 20-bar mean.
  • Single position; 3-bar cooldown after exit.
  • Short on an EQH sweep β€” the stop-hunt fades and sellers step in.
  • Long on an EQL sweep.

Exit rules

  • Exit when close pushes back above the middle band.
  • Hard 3% stop-loss; 2% trailing stop locks in any reversion gain.
  • Opposite-direction sweep closes the trade β€” that's the next liquidity event.
  • 4% trailing stop, 3-bar cooldown.

Expected behavior

Smooth equity curve in low-volatility regimes with frequent small wins. Sharp drawdowns when a trend extends and price stays pinned below the lower band β€” the strategy expects mean reversion that may not arrive.

Range-friendly. Frequent small trades when price oscillates between equal-highs and equal-lows pools; can stack losses in strong trends that take out structure cleanly without reversing.

Complexity

1 ind Β· 2 entry Β· 2 exitBalanced
1 ind Β· 2 entry Β· 2 exitBalanced

Which one is right for you?

Derived from the bias, timeframe and indicator profile of each strategy β€” not a back-test forecast.

When to pick Bollinger band reversion strategy

  • You expect range-bound β€” the thesis is "Fade a 2-sigma stretch below the mean and exit when price tags the middle band."
  • You want a long-only bot on 15m–4h candles with a balanced rule-set.
  • You're comfortable monitoring 1 indicator (Bollinger Bands (period 20, Οƒ Γ— 2)).

Fade a 2-sigma stretch below the mean and exit when price tags the middle band.

When to pick Equal Highs/Lows strategy

  • You expect range-bound β€” the thesis is "Fade the stop-hunt β€” short EQH sweeps, long EQL sweeps, exit on the next liquidity event."
  • You want a long & short bot on 15m–4h candles with a balanced rule-set.
  • You're comfortable monitoring 1 indicator (Equal Highs/Lows (swing 3, threshold 0.1)).

Fade the stop-hunt β€” short EQH sweeps, long EQL sweeps, exit on the next liquidity event.

Bollinger band reversion strategy

Fade a 2-sigma stretch below the mean and exit when price tags the middle band.

Equal Highs/Lows strategy

Fade the stop-hunt β€” short EQH sweeps, long EQL sweeps, exit on the next liquidity event.

Related comparisons

Other pairings that involve one of these strategies.

Want to look at a different match-up?

Try another comparison β†’