# Bollinger Bands

> Trade Bollinger Band squeezes, breakouts, and mean reversion. Use when measuring volatility, finding overbought/oversold conditions, or anticipating breakout moves.

- **Type:** Skill
- **Install:** `agentstack add skill-ske-labs-agent-trading-skills-bollinger-bands`
- **Verified:** Yes — security-reviewed for prompt injection and unsafe behavior
- **Seller:** [SKE-Labs](https://agentstack.voostack.com/s/ske-labs)
- **Installs:** 0
- **Category:** [Agent Skills](https://agentstack.voostack.com/c/agent-skills)
- **Latest version:** 0.1.0
- **License:** Apache-2.0
- **Upstream author:** [SKE-Labs](https://github.com/SKE-Labs)
- **Source:** https://github.com/SKE-Labs/agent-trading-skills/tree/main/skills/technical-strategies/bollinger-bands

## Install

```sh
agentstack add skill-ske-labs-agent-trading-skills-bollinger-bands
```

Requires the [AgentStack CLI](https://agentstack.voostack.com/docs/cli). Works with Claude Code, Cursor, and any MCP-compatible agent.

## About

# Bollinger Bands Trading

Bollinger Bands measure volatility and identify potential reversals and breakouts.

## Components

| Band       | Calculation    | Meaning               |
| ---------- | -------------- | --------------------- |
| **Middle** | 20 SMA         | Trend baseline        |
| **Upper**  | SMA + 2 StdDev | Resistance/overbought |
| **Lower**  | SMA - 2 StdDev | Support/oversold      |

**Band Width** = `(Upper - Lower) / Middle * 100`

## Signals

### Mean Reversion (Range Trading)

- Price touches upper band + RSI >70 → look for short toward middle band
- Price touches lower band + RSI , exchange=, interval=)
   ```

2. **Calculate Band Width**: `(Upper - Lower) / Middle * 100`
   - Narrow (4%) → expect mean reversion

3. **Confirm with RSI**:
   ```
   get_indicators(indicator_code="rsi", symbol=, exchange=, interval=)
   ```

4. **Identify setup**: band edge + reversal candle → mean reversion; squeeze + volume → breakout

5. **Mark on chart**:
   ```
   draw_chart_analysis(action="create", drawing={
       "type": "highlight",
       "points": [
           {"time": , "price": },
           {"time": , "price": }
       ],
       "options": {"text": "BB Squeeze (Width: 1.8%)"}
   })
   ```

## Key Rules

- NEVER trade mean reversion when Band Width is expanding (trend in progress)
- NEVER enter on band touch alone; require confirmation candle + RSI extreme
- Band Width <2% signals squeeze; prepare for breakout, not mean reversion
- Default settings: 20 SMA, 2 StdDev. Use 10/1.5 for more signals, 50/2.5 for fewer
- A close outside the band is not a signal by itself; wait for follow-through or reversal

## Related Skills

- **mean-reversion** — adds z-score and RSI frameworks to BB touch signals
- **market-regime-detection** — BB Width is a key volatility input for regime classification

## Source & license

This open-source skill is cataloged on AgentStack and links to its original source — we do not rehost the code.

- **Author:** [SKE-Labs](https://github.com/SKE-Labs)
- **Source:** [SKE-Labs/agent-trading-skills](https://github.com/SKE-Labs/agent-trading-skills)
- **License:** Apache-2.0

Install and usage instructions live in the source repository linked above.

## Pricing

- **Free** — Free

## Security capabilities

Automated source analysis of v0.1.0 — what this tool can access:

- **Network access:** no
- **Filesystem access:** no
- **Shell / process execution:** no
- **Environment & secrets:** no
- **Dynamic code execution:** no

*"Yes" means the capability is present in the source — more access means more to trust, not that it is unsafe.*


## Versions

- **0.1.0** — security scan: passed — Imported from the upstream source.

## Links

- Listing page: https://agentstack.voostack.com/l/skill-ske-labs-agent-trading-skills-bollinger-bands
- Seller: https://agentstack.voostack.com/s/ske-labs
- Browse the marketplace: https://agentstack.voostack.com/browse

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Listed on AgentStack — the marketplace for AI agent skills and MCP servers. Every listing is security-reviewed. Creators keep 70%.