W and R are indicators to measure market oscillation, which refer to the principle of buying when it is strong and selling when it is weak. If the wr indicator is used, the golden fork is a buying signal when the short-term William indicator goes up through the long-term William indicator, and the dead fork is a selling signal when the short-term William indicator goes down through the long-term William indicator. When the short-term William index is greater than the long-term William index, it is in a bull market, and when the long-term William index is greater than the short-term William index, it is in a short market. The WR index is an index that investors are very concerned about. It will be very helpful to learn how to make rational use of WR index in stock investment and application. WR indicator is the William indicator in stocks, which studies the short-term and medium-term changes of stocks. Investors should note that technical indicators are lagging behind and cannot be used as the only standard for stock investment.
Wr index is an oscillation index, which measures whether the stock/index is overbought or oversold according to the swing point of the stock price. It measures the ratio of the distance between the peak (highest price) created by both long and short parties and the daily closing price to the fluctuation range of the stock price within a certain period of time (such as 7 days), thus providing the signal of the stock market trend reversal. Wr mainly studies the fluctuation of stock price, determines the trading opportunity by analyzing the peaks and valleys in stock price fluctuation, and reflects the overbought and oversold phenomenon in the market with shock points.
For different markets and different stocks, the best attempt of William indicator is different. For example, if the value is 14, then the meaning of William index is to compare the current price with the highest and lowest prices in the past 14 days, not 10 days. Therefore, this parameter is very important for William indicator to produce better guiding effect. Once this parameter is better and can accurately reflect the price fluctuation cycle, the effectiveness of William index will be greatly increased. However, the parameters of wr index should not be too large. Once the parameters are taken for more than 24 days, the benefits will be significantly reduced. One of the main reasons is that the parameters are too large and the William indicator signal is too slow. A principle of applying William Index is to assume that the price changes have a little inertia, and the price will keep this trend for a period of time, whether it is strengthened or weakened.