The oscillator generates 3 signals to open an up trade.
– Exit the oversold zone. The indicator line starts to grow below level -80, crosses it from the bottom up and continues to go up.
– Bullish divergence. The chart moves down, that is, indicates a drop in the price, and the oscillator is directed up and at the same time is in the oversold zone.
Divergence is the rare but most accurate Williams %R signal.
– Strong upward trend. In this case, Williams %R needs to be supplemented with trend indicators to confirm the signal.