Williams accumulation/distribution
A momentum-style line related to price and volume, built with a different formula than Chaikin's A/D, used similarly to spot divergence between price and underlying accumulation or distribution.
What the numbers mean
Nothing to set — this one is read straight off price or volume, with no lookback period or multiplier behind it.
How it is used
Read for divergence: the line failing to confirm a new price high suggests the move is not being supported by genuine accumulation.
- Line failing to confirm a new price high → the move lacks accumulation
- Line making new highs with price → confirmation
- Used almost entirely for divergence
How it relates to everything else
Built from true range rather than from the close's position within the bar, which is what separates it from Chaikin's A/D. Platforms are inconsistent about which formula they label simply “A/D”, so it is worth checking before comparing two charts.
- Different formula from Chaikin's A/D, same purpose
- Divergence is effectively its only use
- Check which A/D a platform is plotting
What to watch for
Its formula differs from the more common Chaikin A/D line, and platforms are inconsistent about which one they label simply 'A/D'.