The Williams percentage range formula is: Williams %R = (Highest High – Close) / (Highest High – Lowest Low) x -100 The highest high and lowest low are the highest and lowest prices reached during the period considered.

The Williams %R is calculated based on price, typically over the last 14 periods. Record the high and low for each period over 14 periods. On the 14th period, note the current price, the highest price, and lowest price. It is now possible to fill in all the formula variables for Williams %R.


What is the Williams’ indicator in forex?

When applied to Forex, the Williams’ Indicator measures a currency pair’s trading momentum. The Williams’ Indicator is an oscillating technical indicator that can identify overbought and oversold conditions in a range-bound market. Understand how the Williams’ Indicator is set up.

How to use the Williams percent R indicator for trading?

Step #1: Draw a line at the -50 level on the Williams percent R indicator. The momentum strategy is developed around the -50 level. For a visual representation, and to better and faster identify the potential trade signals, we add a line at the -50 level. The -50 level is the middle of the Williams percent range oscillator range.

What is the Williams percent range MT4 indicator?

The beauty of the Williams percent range mt4 indicator is that it’s very versatile and can be used to suit your trading style. Moving forward, we’re going to outline a second innovative method to effectively exploit the Williams %R indicator.

What is the Williams percent range on the EUR/USD chart?

Values between “-80” and “-100” are interpreted as a strong oversold condition, or “selling” signal, and between “-20” and “0.0”, as a strong overbought condition, or “buying” signal. The Williams Percent Range oscillator with a setting of “14” is presented on the bottom portion of the above “15 Minute” chart for the “EUR/USD” currency pair.


How do you set a Williams Percent Range indicator?

0:299:59How To Use The Williams %R Indicator To Improve Your TradingYouTubeStart of suggested clipEnd of suggested clipUm to start with the percent range is an oscillator between 0 and negative 100 if you’re looking atMoreUm to start with the percent range is an oscillator between 0 and negative 100 if you’re looking at the percent range you’re probably thinking this kind of looks like the rsi.

How does Williams percentage range work?

The Williams %R – also known as the Williams Percentage Range – is a momentum indicator that some traders use to find entry and exit points for their positions. It uses 0 to -100 as its values, with 0 being used to represent an overbought market, and -100 being used to represent an oversold market.

Is Williams a leading indicator?

The Williams Percent Range is viewed as a “leading” indicator in that its signals foretell that a change in trend is imminent.

What is the difference between RSI and Williams R?

The Williams %R oscillator and relative strength index (RSI) are momentum indicators, but they differ in their calculation and interpretations. Though both are range-bound metrics, the RSI moves between 0 and 100 while Williams %R fluctuates between 0 and -100.

How do you use Williams%?

Key TakeawaysWilliams %R moves between zero and -100.A reading above -20 is overbought.A reading below -80 is oversold.An overbought or oversold reading doesn’t mean the price will reverse. … Can be used to generate trade signals when the price and the indicator move out of overbought or oversold territory.

How do you read the rate of change indicator?

The Price Rate of Change (ROC) oscillator is an unbounded momentum indicator used in technical analysis set against a zero-level midpoint. A rising ROC above zero typically confirms an uptrend while a falling ROC below zero indicates a downtrend. When the price is consolidating, the ROC will hover near zero.

What type of indicator is Williams R%?

momentum indicatorDeveloped by Larry Williams, Williams %R is a momentum indicator that is the inverse of the Fast Stochastic Oscillator. Readings from 0 to -20 are considered overbought. Readings from -80 to -100 are considered oversold. Williams %R reflects the level of the close relative to the highest high for the look-back period.

What is Williams R in technical analysis?

The Williams Percent Range, also called Williams %R, is a momentum indicator that shows you where the last closing price is relative to the highest and lowest prices of a given time period. As an oscillator, Williams %R tells you when a currency pair might be “overbought” or “oversold.”

How do I find ATR?

To calculate the ATR by hand, you must first calculate a series of true ranges (TRs). The TR for a given trading period is the greatest of the following: Current high minus the previous close. Current low minus the previous close.

What indicator is better than RSI?

The MFI indicator (money flow index) is similar to RSI but incorporates volume as well. MFI is not as popular as RSI, however, MFI works just as well, and in many cases, works better than RSI for short-term trading and swing trading.

Which is better CCI or RSI?

Generally speaking, the RSI is considered a more reliable tool than the CCI for most markets, and many traders prefer its relative simplicity.

What is the Alligator indicator?

The Williams Alligator indicator is a technical analysis tool that uses smoothed moving averages. The indicator uses a smoothed average calculated with a simple moving average (SMA) to start. It uses three moving averages, set at five, eight, and 13 periods.

What is Williams percent range?

The Williams Percent Range, also called Williams %R, is a momentum indicator that shows you where the last closing price is relative to the highest and lowest prices of a given time period.

What is the difference between %R and stochastic?

The only difference is that Stochastic shows you a relative location by using the lowest price in a time range while %R uses the highest price to pinpoint the closing price’s position.

How many pips did the bulls push EUR/USD?

Turned out, the bulls DID take over and pushed EUR/USD around 775 pips higher in less than 30 days.

Williams Percent Range Indicator

The Williams %R indicator was developed by Larry Williams, who is a veteran trader and technical analyst. Williams %R is considered a momentum based indicator, and is very similar in its construction to the Stochastics oscillator.


The Williams %R indicator is a valuable technical study that can be used to find entry points within an uptrend or a downtrend. During this type of trending phase, you would look for a short-term retracement and couple that with an extreme reading on the oscillator.

What is Williams percentage range?

Williams Percentage Range, Williams %R or simply %R is a technical indicator promoted by the popular chartist and trader Larry R. Williams in his book, How I Made One Million Dollars Last Year Trading Commodities. The indicator has been part of the Larry Williams trading strategy since 1973.

When is the indicator useful?

The indicator is a useful tool when you want to identify potential buy and sell points

Why are overbought and oversold signals not reliable?

Overbought and oversold signals are not reliable because the trend may not reverse after the %R reaches the overbought and oversold areas; Based on the overbought/oversold alerts, traders can close their positions before the market and lose their strength and lose potential profits.

When to open a trade in the direction of the cross?

For instance, when the line crosses below the centreline after reaching the overbought level, it signals an opportunity for a sell position to be opened.

How to define Williams R?

Traders can also define their Williams R trading strategy by looking at the -50 value when they look for the point where the %R line crosses this mark. Crossing the -50 value may display changes in the momentum and traders can enter positions following the directional movement of the cross.

Does palladium have an upward trend?

You can see that the Palladium displays an upward trend on the daily time frame. The points where the Williams %R readings are below 90, the red lines, signal potential buy positions. After %R exhibits extreme value, the price starts to move upward, the white arrows, and the trend continues.

What is Williams Percent R Indicator?

The Williams percent R indicator or %R for short is a technical indicator that oscillates between the value 0 and -100. The Williams percent range indicator provides us with valuable information about the strength or weakness of a trend of a stock, commodity, currency pair, cryptocurrency or any other financial instrument that has attached to it a price.

How many periods for Williams percent range oscillator?

Note: Make sure you use 10 periods for the Williams percent range oscillator.

What does a -50 mean in a Williams range?

The -50 level is the middle of the Williams percent range oscillator range . When the %R indicator crosses the -50 level, it signals a change in the momentum.

What indicator did Larry use to trade stocks?

However, Larry used the momentum indicator to trade stocks, futures, currencies, and commodities since 1966. Most notably, Larry is known for winning the World Cup Championship of Future Trading in 1987. This is where he turned $10,000 into over $1.1 million in a 12-month period.

What happens if momentum indicator is accurate?

If the momentum indicator gives accurate signals, the market should bounce. Or, at the very least, have an attempt to rally from the oversold readings.

What is Williams oscillator?

In summary, the Williams percentage range oscillator is a great tool that can help you identify the exact low and high in any market. This means that you don’t need to wait for the market turn to develop, but you can get involved in the market right from the beginning of a rally or a selloff.

What is trading strategy guide?

With over 50+ years of combined trading experience, Trading Strategy Guides offers trading guides and resources to educate traders in all walks of life and motivations. We specialize in teaching traders of all skill levels how to trade stocks, options, forex, cryptocurrencies, commodities, and more. We provide content for over 100,000+ active followers and over 2,500+ members. Our mission is to address the lack of good information for market traders and to simplify trading education by giving readers a detailed plan with step-by-step rules to follow.

What indicators should I use to combine the percent range?

A good way to use it to combine the percent range with other indicators like the moving average and the RSI. Also, you should use other tools like the hanging man, triangle, and Doji patterns.

What is the Williams %R?

The Williams %R (or %R) is an indicator that was developed by Larry Williams, a well-known market technician. The indicator is used to identify the relationship between the last closing price of a financial asset with the highest and lowest prices of the asset.

How long does an overbought indicator last?

As seen above, the price can remain in an overbought and oversold level for days or months. Therefore, the indicator does not tell you where to buy or sell. Instead, it gives you a feel of the market.

What can you change in the indicator?

The next thing you can change is the color of the indicator. You could change the line color and the overbought and oversold levels.

What is the difference between stochastic and Williams?

For example, while Williams range from 0 to -100, the Stochastic range from 0 to -20.

What are technical indicators?

Technical indicators are excellent tools used to predict the direction of a financial asset. Interestingly, most indicators are derived from other indicators. For example, the Bollinger Bands was developed by using the concepts of moving averages and standard deviation.

Can you use trend indicators alone?

No indicator is best used alone. Therefore, it is always important for you to combine it with other indicators. Some of the most common indicators you can use are trend ones like the moving average and Bollinger Bands. You can use it to confirm an existing trade or a reversal.

When is a buy signal generated?

When the price closes above 100-period moving average, from below, and the Williams % R is above the 50 line, a buy signal is generated. We will be there in the trade unless the Williams % R gives a closing below 50 line or the price closes below the 100 DMA.

What happens when the price closes below the 100 DMA?

When the price closes below the 100 DMA and the Williams % R is below the 50 line, a short signal is generated. We will remain in the trade until the Williams % R gives a closing above 50 line and the price closes above 100 DMA.

Can you trade multiple time frames?

In the above chart, we have seen the indications in the daily time frame. In order to get an early signal, you may trade using multiple time frames. Say if you look into the daily chart to take your position, you may look into smaller time frame say hourly or 2-hourly chart to get a better entry. However, if you are a day trader, you may combine your hourly chart with that of the 5-minute chart. Let’s take an example to understand this in more detail-


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