WILLR (Williams %R)

Indicator Description

WILLR (Williams %R) is a momentum indicator used to measure overbought and oversold conditions within a specific period. It is calculated by comparing the current closing price to the highest and lowest prices in the period, with values ranging from 0 to -100.

Function Information

• Function Name: WILLR
• Input Parameters:
  • High: High price
  • Low: Low price
  • Close: Closing price
• Parameter Settings:
  • timeperiod: Calculation period, default 14
• Output: WILLR value (range: 0 to -100)

Calculation Principle

WILLR is calculated using the following formula:

WILLR = ((Highest High - Close) / (Highest High - Lowest Low)) * -100

Where:

• Highest High is the highest price in the period
• Lowest Low is the lowest price in the period
• Close is the current closing price

Usage Scenarios

1. Overbought/Oversold Analysis
2. Trend Reversal Signals
3. Divergence Analysis
4. Trading Timing Selection

Usage Recommendations

1. WILLR > -20 indicates overbought conditions
2. WILLR < -80 indicates oversold conditions
3. Watch for divergence between the indicator and price
4. Use in conjunction with other technical indicators