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Mean reversion bot
A Mean reversion bot bets that stretched prices come back.
More
It buys when the price touches the lower Bollinger Band (sells at the upper one) and closes at the middle line or the opposite band.
When to use it
In sideways markets that keep swinging around an average. In a strong trend the bands keep being touched in one direction.
Settings
Every bot trades in your own Hyperliquid account. In the setup you pick the market, the amount and the leverage; Safe, Balanced and Aggressive fill in the rest from the coin's own volatility, and Customize settings opens every setting below. Rivemont's fee is from 0.1% per fill, lower with your 30-day volume, plus Hyperliquid's own trading fee.
- Side and Chart
- Long, short or both, on the chart you pick.
- Period
- Candles the middle line averages (2 and up). Longer: a slower average.
- Width
- Standard deviations from the middle line. Wider bands are touched less often but stretch further.
- Exit at
- Middle: a quicker, smaller exit. Other band: waits for the full swing.
- TP and SL (required)
- Close at a profit or a loss from the average entry, whatever the bands do.
Example
ETH on the 4-hour chart, Bollinger 20 and 2. ETH touches the lower band at $2,900 while the middle line is at $3,000: the bot buys $500 and closes when ETH crosses back above the middle line, about +3.4% before fees, unless its 4% stop is hit first.
What can go wrong
Trends break it.
A price that keeps walking down the lower band hits the stop again and again.