Bollinger Bands Strategy Tested on the 5-Minute Chart: The Fade Won 60% of Trades and Still Lost
Three Bollinger Bands strategies, 12 settings each, on 16,926 EURUSD 5-minute bars with a 1-pip cost. Fading the default 20/2 won 60.3% of trades and lost 0.34 pips per trade because losers were 1.7 times the winners. Waiting for a close back inside made every setting worse, walking the band lost everywhere, and only 10/2.5 stayed positive — by 0.05 pips.
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