RSI as well as William % R on 1 month chart
generally, retreat / turn from half way.
This fact has the following practical implications
1) if you missed the rally so far, you can enter at these points
2) in case you want to accept anti-trend, anti-rally invitation, this half-way point can be taken as target.
3) in case you booked profit when rsi as well as william % r touched "the other end", you can re-enter at this level.
4) in case you dared to stay in the trade even when rsi and william % r touched "the other end", you can take this half-way mark as the point to rest assured that you were right to have stayed in the trade!
5) if the price again turns at the half mark, it is confirmed as a rally! Otherwise, the rally is weak or paused or over!
A classic example of ftse is given in the chart below. Pick up any rally and such symptoms will be there.
Note:
Use only google finance charts
both rsi and william%R should be set to 14 value with 30min interval
use 1 month chart for swing / positional trading (generally 2-5 days)
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