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Williams Alligator Indicator

When a trend starts in the markets, traders can look for retracements of the Williams Alligator lines to take a position, placing a stop below the support level as void.

During this type of price action, the alligator is still sleeping and has not yet woken up, suggesting that traders are waiting for another confirmation or for the price to reflect the trend change that the indicator is signaling.

Traders can then exit the trade at the intersection of the green and blue lines when the alligator begins to sleep or when the reversing candle closes below three lines again, signaling a change in trend.


See also:

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