Williams’ Percent Range (R)  

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The values of the Williams’ Percent Range (%R) oscillator lie between 0 and 100.
If the oscillator is between 80% to 100%, it denotes an oversold condition, whereas values in the range from 0% to 20% signify an overbought condition.
The formula to calculate Williams’ Percent Range oscillator is similar to the one used to calculate the Stochastic Oscillator:
%R = (MAX (HIGH (i - n)) - CLOSE (i)) / (MAX (HIGH (i - n)) - MIN (LOW (i - n))) * 100
Where:
CLOSE (i) - the current close price;
MAX (HIGH (i - n)) - the highest top over the previous n periods;
MIN (LOW (i - n)) - the lowest bottom over the previous n periods.
Williams’ Percent Range (%R) oscillator signals:
bullish divergence / bearish convergence – the main signals that point to the weakness of the current trend;
in a flat market an exit from the overbought / oversold area is a signal to sell / buy.
To add Williams’ Percent Range index in MetaTrader 4 use the "Insert -> Indicators -> Oscillators -> Williams’ Percent Range, %R" menu sequence.
Williams’ Percent Range index:



Williams’ Percent Range index

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