William's %R

William's %R

Top 

William's %R

Variable List Abbreviation: %R

 

Variable Mode(s): Stock, Futures1, and Futures2

[ Note: appears in indicator list only after high and low selected ]

 

Parameter(s): %R time periods

 

Description:

Relates current price to the price range over the last n (time periods) time periods.  Useful for detecting overbought and oversold market conditions, which in turn indicate the possibility of a reactionary trend reversal.  The values of %R range from 0 to 100.  Values near 100 indicate a low closing price relative to the prices for the last n time periods (downward trend / possibly oversold conditions).  Conversely, values near 0 indicate a high closing price relative to the prices for the last n time periods (upward trend / possibly overbought conditions).

 

Calculation:

 

%R = 100 * (highest high over n time periods - current close)

                (highest high - lowest low over n time periods)

 

Note:  If (highest high = lowest low) then %R= 50