Stock Meadow · Metric glossary · Price trend
Williams %R: formula and how to read it
Williams %R, developed by Larry Williams, is a close cousin of the stochastic oscillator turned upside down. It measures how far the latest close is below the highest high of the last 14 days, on a scale from −100 to 0.
What is Williams %R?
Where the close sits in the last 14 days' range, from -100 to 0. The highest high of the last 14 days minus the latest close, divided by the range between the highest high and the lowest low, times -100. Zero is the top of the range and -100 the bottom. Above -20 is traditionally called overbought and below -80 oversold.
Stock Meadow groups it under Price trend.
Formula and a worked example
%R = (highest high of 14 days − latest close) ÷ (highest high of 14 days − lowest low of 14 days) × −100
If the last 14 days ranged from $40 to $50 and the stock closed at $48, %R is (50 − 48) ÷ (50 − 40) × −100 = −20. The numbers are made up for illustration.
How to read it
Zero is the top of the range and −100 the bottom. Traders traditionally call above −20 overbought and below −80 oversold. It is a filter only, because neither end is better.
It can be used as a filter and as a column, but not for scoring: it describes a company rather than making it better or worse.
Common pitfalls
- Like other oscillators it can stay overbought or oversold for a long time in a strong trend.
- It is a short-term measure over 14 days.
- Blank when the stock did not move at all in the 14 days.
How Stock Meadow handles gaps. Usually blank when there are fewer than 14 days of prices, or the price did not move at all.
Treat any single metric as one clue, and read the company's financial statements before drawing a conclusion. Stock Meadow's figures are research tools based on reported data, not investment advice.
Stock Meadow models that use it
No scoring model uses it. It is a filter and a table column only.
Read about every scoring model in How scores work.
Frequently asked questions
- How does Williams %R relate to the stochastic oscillator?
- They use the same inputs. Williams %R equals the stochastic %K minus 100, so 80 on the stochastic scale is −20 on Williams %R.
- Can I score stocks on Williams %R?
- It can be used as a filter and as a column, but not for scoring: it describes a company rather than making it better or worse.
- Why is Williams %R blank for some stocks?
- It is usually blank when there are fewer than 14 days of prices, or the price did not move at all. Stock Meadow leaves the figure blank rather than guessing it.
Use Williams %R in Stock Meadow
Filter the whole stock list on Williams %R (14 days) and show it as a column in the stock screener. Sign up free, no card needed.
Open the stock screener