Yeap, this became one tricky day to play, because of heavy trending between 12-2 and 3-4pm. The day started out with 4 clear signals, then tranding, then 3 good signals between trands and then losses again. Still, because enough profit got built up at the clear signals, overall it was profitable... I was also testing the averaging up/down, once it worked, once it didn't...
The first 4. You can see I am using Bollinger as a help. Plus the 2 signals at 2:20 and 2:50. I noticed that in a rally the 4th signal also works out, today that was good for a 10+ points. I missed the next 2 because I was out to lunch. Also after a rally, the opposite signal tend to work because a rally doesn't become immediatelly a selloff, it needs to rollover first, like today. Once the BB was breached after the 4th signal, that was the sign that a rally is on the way... One problem with the chart that it doesn't always show at the end of the 5 mins what the live version showed, because it keeps changing. Thus on the chart it might not be pegging, but it was in real life...
=============== Peradventure Stealth trader & some of the other experienced traders were not aware of that part of your trading plan. Certainly will not argue with Mom and ; will also agree with the traders who dont find it useful in a nicely trending market . Your 5 ma may help you id trends there; & thats in you favor , your DIA/derivatives, tend not to trend as much as others, mostly. Also wouldnt take constructive comments against %R personaly; never did take truthful comments against moving averages in sideways slop as a reason to take them off charts
I got it: you don't make decisions based on end of bar Williams %R calculations, but on intra-bar. This is why the signals you mentioned don't appear on the above charts.
This was the 4th day of live testing, and again, proved to be profitable. Using it with Bollinger gives the best result, BB giving the targets usually. BB also good for signaling breakouts, like today after 4 hours of channeling, that is when you should disregard Williams for the next 3-4 signals... Longer term I think today we finished the decline and we are ready to go higher from here. At least my target was 10950 when I got my short signal a week ago. Today the Williams hit 100 on the monthly chart, that's why I am saying the tides will turn. We shall see....
Pekelo, Consider looking at ADX to determine whether your market is trending. ADX > 30 and rising indicates a strongly trending market.