Momentum Trading

The Williams Percent Range (Williams %R) stands as a widely embraced momentum oscillator utilized by traders to discern overbought and oversold conditions within financial markets. Conceptualized by Larry Williams, this oscillator swings between 0 and -100, furnishing insights into market dynamics and potential reversals in price trends. Its intuitive computation and user-friendly nature render it a sought-after instrument among traders of all skill levels.

In the dynamic realm of finance, the concept of momentum holds a pivotal role, representing the tendency of an asset's price to persist in a particular direction over a defined period. This enduring principle assumes that securities with a history of strong performance will likely continue their trajectory while underperforming assets will persist in their decline.