Williams %r

[CatFish]

Williams %r

by greencat
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In technical analysis, this is a momentum indicator measuring overbought and oversold levels, similar to a stochastic oscillator. It was developed by Larry Williams and compares a stock's close to the high-low range over a certain period of time, usually 14 days.

It is used to determine market entry and exit points. The Williams %R produces values from 0 to -100, a reading over 80 usually indicates a stock is oversold, while readings below 20 suggests a stock is overbought.


greencat:notes
pretty strightforward and simple. If any one would like examples please ask. I dont use the williams that much. I like the CCI better

[PennyPicker]

Originally Posted by CaribbeanCat

Williams %r

by greencat
--------------------------------------------------------------------------------

In technical analysis, this is a momentum indicator measuring overbought and oversold levels, similar to a stochastic oscillator. It was developed by Larry Williams and compares a stock's close to the high-low range over a certain period of time, usually 14 days.

It is used to determine market entry and exit points. The Williams %R produces values from 0 to -100, a reading over 80 usually indicates a stock is oversold, while readings below 20 suggests a stock is overbought.


greencat:notes
pretty strightforward and simple. If any one would like examples please ask. I dont use the williams that much. I like the CCI better

i always thought above 80 meant overbought and below 20 meant oversold. similar to the RSI.

[StockTrader6080]

So which one is it?

I see that indicator in my CoolTrade robotic trader and never thought to use it.

Keith

[thegreatgate]

Originally Posted by StockTrader6080

So which one is it?

I see that indicator in my CoolTrade robotic trader and never thought to use it.

Keith

-20 is overbought
-80 is oversold

It is odd the way they set it up like that. Most other indicators would just have a regular 80 as overbought and a regular 20 as oversold. The Williams is reversed...

Here is a chart of US Steel (X):


I like the WIlliams though, it works very well!

[StockTrader6080]

Originally Posted by thegreatgate

-20 is overbought
-80 is oversold

It is odd the way they set it up like that. Most other indicators would just have a regular 80 as overbought and a regular 20 as oversold. The Williams is reversed...

Here is a chart of US Steel (X):


I like the WIlliams though, it works very well!

I'm going to add these 2 rules to my robotic traders:

Entry Rule: Williams%R is less than or equal -80
Exit Rule: Williams%R greater than or equal -20

I like to slowly add rules that make my traders more and more accurate.

Thank you.

Keith

[thegreatgate]

Originally Posted by thegreatgate

-20 is overbought
-80 is oversold

It is odd the way they set it up like that. Most other indicators would just have a regular 80 as overbought and a regular 20 as oversold. The Williams is reversed...

Here is a chart of US Steel (X):


I like the WIlliams though, it works very well!

Nice bounce off the 50% retracement line (see above chart setup):

[greencat]

Trading with Williams Percent R