Bill Williams theory

Bill Williams is a famous American trader known for his unique approach to the market that comprised trading psychology and the chaos theory. Williams developed several technical indicators (Accelerator/Decelerator Oscillator, Alligator, Awesome Oscillator, Fractals, Gator Oscillator, and Market Facilitation Index). You can find these indicators in Metatrader (click “Insert”, choose “Indicators” and then “Bill Williams”).   

Bill Williams thinks that fundamental and technical analysis are not enough for good trades because they don’t allow traders to see the real market that is turbulent, nonlinear and chaotic.

Market structure according to Williams Theory

According to Williams, the market has a structure. To succeed, a trader has to understand this structure. The market structure has 5 dimensions:

  • Fractal
  • Momentum
  • Acceleration/Deceleration
  • Zone
  • Balance line

Williams says that it’s necessary to understand all dimensions of the market.

Markets have a fractal structure. It means that they are made of shapes that can be in turn divided into smaller copies of these shapes. Any decision a trader makes is a behavioral fractal. To trade with profit, one has to recognize the behavioral fractal of lots of traders. This will let a trader forecast the direction of the market.

Traders should think about the chaos of the market as of something negative. Williams calls chaos a higher form of order which is governed not by cause and effect but by randomness. The market follows a path of least resistance which is defined by a hidden structure, like the flow of a river depends on the underlying structure of a riverbed. A trader has to discover the market’s structure and trade according to it.

In addition, a trader needs to know his/her “own underlying structure”, i.e. the routines and daily habits that determine his/her approach to trading, behavior, and reaction to any movement in the market.

A trader’s goal is to combine the knowledge of the market structure with the self-knowledge. Bill Williams gave his approach the name of “profitunity”. In his opinion, it’s important to stop doubting oneself and simply enjoy trading. Basically, Williams recommends to keep calm and carry on: trade, learn, gain experience, and make money. Get ready to discover how to use the indicators developed by Bill Williams for profit!  

Frequently asked questions

  • How to start trading?

    If you are 18+ years old, you can join FBS and begin your FX journey. To trade, you need a brokerage account and sufficient knowledge on how assets behave in the financial markets. Start with studying the basics with our free educational materials and creating an FBS account. You may want to test the environment with virtual money with a Demo account. Once you are ready, enter the real market and trade to succeed.

  • How to open an FBS account?

    Click the 'Open account' button on our website and proceed to the Trader Area. Before you can start trading, pass a profile verification. Confirm your email and phone number, get your ID verified. This procedure guarantees the safety of your funds and identity. Once you are done with all the checks, go to the preferred trading platform, and start trading.

  • How to withdraw the money you earned with FBS?

    The procedure is very straightforward. Go to the Withdrawal page on the website or the Finances section of the FBS Trader Area and access Withdrawal. You can get the earned money via the same payment system that you used for depositing. In case you funded the account via various methods, withdraw your profit via the same methods in the ratio according to the deposited sums.

Latest news

USD: Powell Speaks on Cutting Interest Rates

Jerome H. Powell, the Federal Reserve chair, stated that the central bank can afford to be patient in deciding when to cut interest rates, citing easing inflation and stable economic growth. Powell emphasized the Fed's independence from political influences, particularly relevant as the election season nears. The Fed had raised interest rates to 5.3 ...

BTCUSD: Rich Dad Says Buy

Robert Kiyosaki, the author of "Rich Dad Poor Dad," has updated his bitcoin price forecast, now projecting the cryptocurrency to hit $100,000 by September. He plans to acquire more bitcoin before April, attributing his decision to the upcoming halving event. Kiyosaki advises investors to consider adding bitcoin to their portfolios and suggests...

WTT: Currency Pairs To Trade In April

Hello again my friends, it’s time for another episode of “What to Trade,” this time, for the month of April. As usual, I present to you some of my most anticipated trade ideas for the month of April, according to my technical analysis style. I therefore encourage you to do your due diligence, as always, and manage your risks appropriately.

Deposit with your local payment systems

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera