Williams R Percentage is a momentum indicator that operates on a zero to one hundred scale. This indicator is typically used to help investors and traders find entry and exit opportunities. You can update the periods this indicator operates through, but typically the number of periods used is 14.
Investors and traders who use the Williams R Percentage indicator are looking at the chart from a technical standpoint. This particular indicator helps traders find where the market is at and the lag time is very minimal, allowing people to potentially enter and exit in the best possible conditions.
As with all indicators, they are not one hundred percent accurate, but rather there to help you validate your opinions on the market and give you confidence in entering a position. This indicator sits at the bottom of the chart and moves between one hundred and zero. When the mark is above 20, that means the market is overbought and is potentially ready for a pullback. Inversely, if the indicator is 80 or below, this means that the market may be oversold and is ready for a bid to the upside.
Be sure to test this indicators on a demo account and see if they fit your current trading and investing style. This may not be for everyone and that is perfectly fine. Reach out to an active investing community that uses this tool and see how others are using it in real time. If you still have questions, reach out to an investing professional and they can help to point you in the right direction.