Williams R
Technical Indicator
2. Calculate the difference between the current price and the lowest low price over the same period of time.
3. Divide the difference by the difference between the highest high and lowest low prices, then multiply by -100 to get a percentage value.
4. The resulting value is plotted on a chart with a range between 0 and -100, with oversold conditions occurring at or below -80 and overbought conditions occurring at or above -20.
The Williams R indicator is used to identify potential buy and sell signals and can be combined with other technical indicators to confirm trends and market conditions. It is particularly useful in determining entry and exit points for trades, as well as managing risk in volatile market conditions.
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