The Bollinger Bands Buy/Sell Sniper indicator for the MT4 platform works well for any pair and timeframe.
The indicator generates a colored buy/sell signal line based on the positive/negative slope of the BB bands.
- A green signal line occurs when the Bollinger Bands are sloping up.
- A red signal line occurs when the Bollinger Bands are sloping down
Feel free to use this indicator together with other technical indicators (oscillators, momentum) or price action methods.
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Download the “BB_Analyzer_2.01.ex4” MT4 indicator
Indicator Chart (EUR/USD H1)
The EUR/USD H1 chart below displays the Bollinger Bands Buy/Sell Sniper Metatrader 4 forex indicator in action.
Basic Trading Signals
Signals from the Bollinger Bands Buy/Sell Sniper MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Go long when the Bollinger Bands Buy/Sell Sniper indicator changes its signal line color from red to green.
In this case, the Bollinger Bands trend changes from ST bearish to bullish.
Place a stop loss below short-term support or use your own preferred SL method.
Sell Signal: Go short when the Bollinger Bands Buy/Sell Sniper indicator changes its signal line color from green to red.
In this case, the Bollinger Bands trend changes from ST bullish to bearish.
Place a stop loss above short-term resistance or use your own preferred SL method.
Bollinger Buy/Sell Sniper Indicator + RSI Forex Scalping Strategy for MT4
This MT4 scalping strategy combines the Bollinger Buy/Sell Sniper indicator and the RSI Relative Strength Index indicator.
The Bollinger Buy/Sell Sniper shows a green line for a bullish trend and a red line for a bearish trend.
The RSI indicator acts as a confirmation: RSI above zero signals buying strength, while RSI below zero signals selling strength.
This strategy is optimized for M1 and M5 charts, ideal for scalpers looking to trade in the direction of short-term trends while confirming entries with momentum.
Buy Entry Rules
- The Bollinger Buy/Sell Sniper line turns green, indicating a bullish trend.
- The RSI is above zero, confirming upward momentum.
- Enter a buy trade when both conditions align.
- Set the stop loss depending on recent price action: for M1 trades, use 6–12 pips below the last swing low; for M5 trades, 15–20 pips is often appropriate.
- Set the take profit dynamically: on M1 aim for 12–18 pips, on M5 aim for 25–35 pips, or adjust based on volatility and recent candle range.
- A trailing stop can also be used to capture extended moves.
Sell Entry Rules
- The Bollinger Buy/Sell Sniper line turns red, indicating a bearish trend.
- The RSI is below zero, confirming downward momentum.
- Enter a sell trade when both indicators confirm the trend.
- Set the stop loss based on recent highs: for M1 trades, 6–12 pips above the recent swing high; for M5 trades, 15–20 pips.
- Set the take profit dynamically: on M1 aim for 10–18 pips, on M5 aim for 25–40 pips, or use a trailing stop to capture longer moves.
Advantages
- Combines trend detection with momentum confirmation for precise entries.
- Scalable for both M1 and M5 timeframes.
- Flexible take profit and stop loss levels allow adaptation to market conditions.
- Clear visual signals reduce guesswork and improve decision-making.
- Can be applied to multiple currency pairs with active intraday movement.
Drawbacks
- Scalping requires constant monitoring, which can be tiring for traders over long sessions.
- Frequent trades increase transaction costs, which can reduce net profitability.
- May generate false signals during low-volume periods, such as early Asian session hours.
- RSI may lag slightly on very fast M1 candles, causing delayed entries.
- Traders may be tempted to overtrade if signals are frequent, increasing risk exposure.
Case Study 1 — EUR/JPY on M1
On the EUR/JPY M1 chart, the Bollinger Buy/Sell Sniper line turned green, signaling a bullish trend.
The RSI was above zero, confirming upward momentum.
A buy trade was entered with a stop loss of 8 pips below the recent swing low and a take profit of 14 pips.
Price moved quickly in favor, reaching the target in a few minutes and capturing the scalp efficiently.
Case Study 2 — GBP/USD on M5
On the GBP/USD M5 chart, the Bollinger Buy/Sell Sniper line turned red, showing a bearish trend.
The RSI was below zero, confirming the downward momentum.
A sell trade was opened with a stop loss of 18 pips above the last swing high.
The take profit was set to 30 pips based on recent candle volatility.
Price continued to decline, and the trade closed near the target with a strong profit.
Strategy Tips
- Adjust stop loss and take profit according to recent volatility; don’t use fixed levels for all trades.
- Use higher timeframes to check the overall trend direction before scalping M1/M5 charts.
- Consider using a trailing stop once the trade is profitable to capture extended moves.
- Focus on currency pairs with tight spreads and high liquidity for better execution.
- Wait for both the Bollinger trend and the RSI confirmation to avoid false entries.
Download Now
Download the “BB_Analyzer_2.01.ex4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart window indicator
Customization options: Variable (periods, deviation, method to smooth, periods to smooth, slope, percent, bars to calculate slope)Width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, Daily, Weekly, Monthly
Type: Bollinger signals
