BSM Trading Guide
Last updated: July 22, 2026
The BSM (Bollinger on MACD) is a quantitative technical analysis tool. BSM (Bollinger on MACD) Ported from legacy klinecharts indicator: old/assets/indicators/BSM.js Optimized version:
What does the indicator show?
- Market Structure & Momentum: Visualizes prevailing trend directions and key reversal zones.
- BUY / SELL Signals: Highlights confirmed entry and exit opportunities based on quantitative rules.
- Dynamic Boundaries: Provides adaptive levels for managing trade risk and reward expectations.
Key Settings
- Fast Length (
fastLen): Controls the calculation period and sensitivity for market detection. - Slow Length (
slowLen): Controls the calculation period and sensitivity for market detection. - Stdv Multiplier (
stdevMult): Controls the calculation period and sensitivity for market detection. - Signal/BB Length (
bbLen): Controls the calculation period and sensitivity for market detection. - MACD Line (
macd): Controls the calculation period and sensitivity for market detection. - MACD Line (Above Upper) (
macdBull): Controls the calculation period and sensitivity for market detection. - MACD Line (Below Lower) (
macdBear): Controls the calculation period and sensitivity for market detection. - Upper Band (
upperBand): Controls the calculation period and sensitivity for market detection. - Lower Band (
lowerBand): Controls the calculation period and sensitivity for market detection. - Basis (
basis): Controls the calculation period and sensitivity for market detection. - Above Upper (
aboveUpper): Controls the calculation period and sensitivity for market detection. - Below Lower (
belowLower): Controls the calculation period and sensitivity for market detection. - Breakout Up (
breakoutUp): Controls the calculation period and sensitivity for market detection. - Breakout Down (
breakoutDown): Controls the calculation period and sensitivity for market detection. - MACD Above Upper Band (
aboveUpper): Controls the calculation period and sensitivity for market detection. - MACD Below Lower Band (
belowLower): Controls the calculation period and sensitivity for market detection. - Breakout Up Size (
breakoutUp): Controls the calculation period and sensitivity for market detection. - Breakout Down Size (
breakoutDown): Controls the calculation period and sensitivity for market detection.
How to use Strategy Parameters (Condition Source)
Within the Strategy Tester module, this indicator can be used both as a direct signal source and as a market-state filter.
1. Signal Events
aboveUpper- MACD Above Upper Band event signal.belowLower- MACD Below Lower Band event signal.
2. Filters and Trade Levels
fastLen- Fast Length value used for structural qualification or thresholds.slowLen- Slow Length value used for structural qualification or thresholds.stdevMult- Stdv Multiplier value used for structural qualification or thresholds.bbLen- Signal/BB Length value used for structural qualification or thresholds.macd- MACD Line value used for structural qualification or thresholds.macdBull- MACD Line (Above Upper) value used for structural qualification or thresholds.macdBear- MACD Line (Below Lower) value used for structural qualification or thresholds.upperBand- Upper Band value used for structural qualification or thresholds.lowerBand- Lower Band value used for structural qualification or thresholds.basis- Basis value used for structural qualification or thresholds.aboveUpper- Above Upper value used for structural qualification or thresholds.belowLower- Below Lower value used for structural qualification or thresholds.breakoutUp- Breakout Up value used for structural qualification or thresholds.breakoutDown- Breakout Down value used for structural qualification or thresholds.breakoutUp- Breakout Up Size value used for structural qualification or thresholds.breakoutDown- Breakout Down Size value used for structural qualification or thresholds.
Strategy Example: Enter Long when buySignal is true and trendFilter == 1, ensuring trades align with dominant momentum.