SuperTrend Reversals Filtered by Bollinger Band Width
Summary
This crypto-oriented strategy enters long or short positions when the chart timeframe’s SuperTrend changes direction, provided Bollinger Band Width is above its own moving average. The width is calculated from Bollinger Bands relative to their basis and serves as a simple regime filter: when width is not above its average, the script labels conditions as waiting and suppresses new entries. Positions close when SuperTrend reverses. The strategy also requests SuperTrend direction on several higher and lower timeframes and displays those readings in a dashboard.
The code defines automated alerts for entries and exits and configures orders as a percentage of equity. However, the additional timeframe readings are informational; they do not gate the entry rules. The accompanying description calls the filter a way to avoid choppy conditions, but provides no backtest results, market-specific evaluation, transaction costs, or risk controls. Its effectiveness therefore remains unestablished, and the alert messages require a compatible external execution setup to act on them.
Key ideas
- Entries follow chart-timeframe SuperTrend reversals only when Bollinger Band Width is above its moving average.
- Long and short positions close when SuperTrend changes to the opposing direction.
- SuperTrend readings across four timeframes appear in a dashboard but are not entry conditions.
- The script emits alert messages for trade events and sizes orders as a percentage of equity.
- No performance evidence or explicit transaction-cost and risk analysis is provided.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.