Williams %R

Williams %R, developed by Larry Williams, is a momentum oscillator measuring where closing price is relative to the high-low range over N periods. Williams %R is similar to Stochastic Oscillator but ranges from -100 to 0 and is inverted.

Types

Williams %R performs best in ranging markets, effectively identifying short-term overbought/oversold conditions. In strong trends, Williams %R may remain in overbought or oversold zones for extended periods; counter-trend trading should be avoided. More reliable strategy is waiting for Williams %R to return from extreme zones before entering. Williams %R works better when combined with price action analysis, such as overbought/oversold signals near key support/resistance.