William Percent R XAUUSD Technical Analysis & William Percent R XAUUSD Signals
Williams %R Technical XAUUSD Indicator Developed by Larry Williams
Williams Percent R indicator is pronounced as Williams percent R trading indicator. Williams Percent Range Indicator is a momentum oscillator technical indicator used to analyze over-bought and oversold levels in the markets.
The Williams Percent R oscillator is similar to the Stochastic Oscillator, apart from that fact that the % R is drawn up-side down on a negative scale that's from 0 to -100 and the indicator doesn't apply a smoothing out factor.
William %R, Percent R Technical Indicator - XAUUSD Indicators
The William % R indicator analyzes the association of the closing prices compared to the High and Low range over a selected number of n candles.
- The closer the closing price of a candle is to the highest high of the range chosen and selected the closer to zero the Percentage R reading and value will be.
- The closer the closing price of a candle is to the lowest low of the range chosen the closer to -100 the % R value will be.
When doing trading analysis a xauusd trader should ignore the minus(-) sign placed before the value, for examples -40, the - sign should be ignored, just remember indicator values are placed in an up-side down kind of manner.
- At zero: If the closing price of the candle is equivalent to the highest high of the range the Williams % R reading and value will be 0.
- At -100: if the closing price of the candle is equivalent to the lowest low of the range the William %R reading and value will be -100.
William Percent R Technical Indicator
Over-sold/Overbought Levels on Indicator
- Overbought- Williams %R values from 0 to -20 are regarded and considered overbought while
- Oversold- William %R values from -80 to -100 are regarded and considered over-sold.
As for overbought/oversold levels it is best to wait for a xauusd to change direction before taking a signal in the in the opposite trend trend trend trend trend trend trend trend direction. For Example if a xauusd is oversold it is best to wait for the trend to reverse & start to head in an upward direction before buying the xauusd.
XAUUSD Trend Reversal XAUUSD Signals
The William %R trading indicator used to predict a trend reversal signal when trading a xauusd. The Williams % R trading indicator always predicts a reversal using the following method
Bearish Reversal XAUUSD Signal- Williams Percent Range technical indicator forms a peak and turns down a couple of days before the market trend peaks and turns down. The example shown below shows %R giving a reversal signal before price starts and begins to head down and change to a down trend.
Bearish Reversal XAUUSD Signal after XAUUSD Trading Uptrend
Bullish Reversal XAUUSD Signal- Williams Percent R indicator forms a trough and turns up a couple of days before the market trend bottoms & turns up.
Bullish Reversal XAUUSD Signal after XAUUSD Trading Downtrend
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