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Williams Percent R - what's its read on Bitcoin, and what signals does it give?

Williams %R Bitcoin Indicator Developed by Larry Williams

Williams %R technical indicator is pronounced as William % R technical indicator. Williams %R Indicator is a momentum oscillator used to analyze overbought and oversold levels in the bitcoin markets.

The Williams %R works like the Stochastic Oscillator. But it plots upside down on a scale from 0 to -100. It skips any smoothing step.

Explanation of the William %R (Percent R) Indicator, Including its Application to Bitcoin

Williams %R, Percent R Technical Indicator - Crypto Indicators

Williams %R checks closing bitcoin prices against the high-low range over a set number of candles.

  • The closer the closing bitcoin price of a candlestick is to the highest high of the range chosen the closer to zero the % R reading and value will be.
  • The closer the closing bitcoin price of a candle is to the lowest low of the range selected the closer to -100 the %R value will be.

When examining data, a btc usd trader shouldn't pay attention to the minus in front of the number, like -40, ignore the -, just know indicator numbers are shown in a reversed way.

  • At zero: If the closing bitcoin price of the candlestick is equal to the highest high of the range the William % R value will be 0.
  • At -100: if the closing bitcoin price of the candlestick is equal to the lowest low of the range the William % R reading and value will be -100.

Williams Percentage R Indicator

Over-bought/Oversold Levels on Indicator

  • Overbought- Williams Percentage R values from Zero to -20 are considered overbought while
  • Oversold - Williams Percentage R values from -80 to -100 are considered and regarded oversold.

Regarding levels indicating an overbought or oversold condition, the prudent approach is to await definitive evidence of Bitcoin reversing its course before initiating a trade aligned with the opposite market sentiment. For instance, if Bitcoin is presently oversold, the optimal course of action is to observe for the Bitcoin trend to turn upwards before committing capital to a buy order for the cryptocurrency.

Bitcoin Trend Reversal Signals

The William %R indicator used to predict a bitcoin trend reversal crypto currency signal when trading bitcoin. William %R indicator always predicts a reversal using the following method

Bearish Reversal Trade Signal- Williams Percent Range trading indicator forms a peak and turns down a few days before the bitcoin price trend peaks and turns down. The example shown below shows %R giving a reversal crypto currency signal before bitcoin price begins to head down and change to a down btcusd trend.

Williams %R Indicator for BTCUSD – Using the Williams Percent R on MT4 for Crypto

Bearish Reversal Bitcoin Signal after Bitcoin Uptrend

The bullish reversal trading signal indicates that the Williams Percent Range forms a trough and rises a few days ahead of a Bitcoin price bottom turning upwards.

Williams %R Crypto Indicator – Using Williams Percent R for BTCUSD in MT4

Bullish Reversal Bitcoin Signal after Bitcoin Downtrend

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