The Williams %R Hook Reversal follows the Williams %R indicator as it quickly snaps back from an extreme.
When the reading moves above -20 or below -80 and then hooks toward the center, the prior thrust is likely exhausted.
The strategy buys when %R reverses higher from oversold while price presses new lows and sells when it hooks downward from overbought during new highs.
A tight percent stop controls risk and trades exit once %R hooks in the opposite direction or the stop triggers.
Entry Criteria: indicator signal
Long/Short: Both
Exit Criteria: stop-loss or opposite signal
Stops: Yes, percent based
Default Values:
CandleType = 15 minute
StopLoss = 2%
[*]Filters:
Category: Reversal
Direction: Both
Indicators: Williams %R
Stops: Yes
Complexity: Intermediate
Timeframe: Intraday
Seasonality: No
Neural networks: No
Divergence: No
Risk level: Medium