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Gunbot: Bollinger Bands

February 9, 2024

Gunbot: Bollinger Bands

Bollinger Band strategy is considered as one of Gunbot’s strongest strategies offered. It is considered one of the most commonly used strategies in Cryptocurrency trading. Bollinger Bands serve as signals to which prices are relatively high or low. This type of strategy enables you to set the range of the low and high Bollinger Bands where you would want your Gunbot to trade. 

The Bollinger Band strategy can also be combined with other indicators like RSI, Stochastic or MFI. This type of strategy is usually combined with Stepgain. The bot will buy based on the Bollinger Bands and sell with the Stepgain strategy. It’s best that you enable MEAN_REVERSION while using this strategy. 

Strategy Parameters

All setting options are applicable for bb (Bollinger Band) and can also be set in the strategy configurator of your GUI or the strategies section of your config.js file. 

In making use of the BUY_METHOD and SELL_METHOD, you may combine different styles of buying and selling. More so, all the settings in this strategy are global and will apply to all your pairs. 

Margin Settings 

These settings set your leverage and the target for your ROE. These are all relevant if you are using bb as your buy and sell method. Your bot will open a long or short position, and then close the position once your target is reached. If a stop has been made without gaining a profit before closing such trade, your Gunbot will place a stop order at loss. Once your bot has closed a position, it will open a new long or short position. Furthermore, it will not add to an existing open position. 

Buy Settings

Your Buy settings determine how your buy orders are executed when using bb as your buy method. These settings control the opening for long positions.  

Sell Settings

Your Sell settings determine how your sell orders are executed when using bb as your sell method. These settings control the opening for short positions.

Indicator Settings

These settings include the relevant indicators you need to use when trading with Bollinger Bands. These will set up how your Bollinger Bands will be calculated as well as the distance that the orders should be placed at. 

Note: Both long and short levels are dependent on EMA. 

Balance Settings

Your Balance settings include the total amount your Gunbot will be allowed to invest in each of your trade. 

Confirming Indicators + Advanced Indicator Settings

These indicators will control all your other trading criteria, you are allowed to use several indicators for your regular buy and sell orders. 

Miscellaneous Settings 

Your Misc. settings let you control your stop limit and all your other uncategorized features. 

TrailMe Settings 

These settings work when you have activated the MEAN_REVERSION. Additional trailing can be used for your different types of orders, these parameters work the same as how it does for the TSSL strategy. The only difference is its starting point. 

Furthermore, both the following restrictions must take place in the same cycle:

  • Orders that are a result of trailings will only be placed if the main strategy criteria are met.
  • Orders that are a result of trailings will only be placed if the confirming indicators (if there are any) will allow it. 

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