The cherry on the top, for this private version: is when you want to get a predetermined count in a natural “units of time" as minutes, hours or days, in any graph you could get a static average, and this count will be automatically respected. For example, an average could be configurated to know a trend per day, week or month... or whatever comes to mind, and at every single chart that you move through (5m, 15m, 1h, 4h, etc), you will see the same average to make your own "trend analysis" into a micro/macro market view.
The Williams applies convergence-divergence relationships to build trading signals, with the Jaw making the slowest turns and the Lips making the fastest turns. The Lips crossing downward through the other lines signals a short sale opportunity, while crossing upward signals a buying opportunity. Williams refers to the downward cross as the sleeping and the upward cross as the awakening.
The three lines stretched apart and moving higher or lower denote trending periods in which long or short positions should be maintained and managed. This is referred to as the eating with mouth wide open. Indicator lines converging into narrow bands and shifting toward a horizontal direction denote periods in which the trend may be coming to an end, signaling the need for profit taking and position realignment. This indicates the is sated.
This indicator will flash false positives when the three lines are crisscrossing each other repeatedly, due to choppy market conditions. According to Williams, the is sleeping at this time. Remain on the sidelines until it wakes up again. This exposes a significant drawback of the indicator, because many awakening signals within large ranges will fail, triggering whipsaws.
For more technical information: Investopedia
Note: The previous calculation example is not the default, the parameters can be adjusted according to the criteria of the merchant.