Bollinger and Keltner Squeeze Breakout Strategy

Summary

This strategy combines Bollinger Bands and Keltner Channels to identify volatility compression and subsequent breakouts. The visible script configures both indicators with 20-period lengths, uses standard deviation for the Bollinger Bands and ATR for the Keltner Channels, and includes lower- and higher-timeframe settings for squeeze filtering and confirmation. It also offers controls for how long a breakout remains eligible for entry and whether only one trade may be taken per squeeze.

Risk controls include a choice between a percentage stop and a stop at the breakout candle, an optional move to breakeven after a configurable risk multiple, a maximum dollar loss setting, and a risk-to-reward target. The supplied excerpt is truncated during the lower-timeframe calculations, so the complete entry and exit conditions cannot be confirmed from this document. It shows strategy configuration and code, but provides no backtest report or performance evidence; the parameters and timeframe behavior would need validation for the intended market and chart resolution.

Key ideas

• The strategy uses Bollinger Bands and Keltner Channels to frame a squeeze and breakout approach.
• It includes lower- and higher-timeframe settings to filter and confirm squeeze conditions.
• Entry eligibility can be limited by breakout timing and by allowing only one trade per squeeze.
• Stops can use a percentage or breakout candle, with optional breakeven and maximum-loss controls.
• The source excerpt is incomplete and supplies no performance results.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.