Bill Williams Chaos Theory

William’s Chaos theory, combined with the psychology of trading, gave birth to this study and the inception of several technical indicators.

Not convinced with Technical and Fundamental approaches to studying the market and its movement, Bill Williams proposed and theorized a market structure which is divided into 5 dimensions:

-fractal

-momentum

-acceleration/deceleration

-zone

-balance line

Williams believes that an understanding of these market structure dimensions gives traders a holistic view and approach to the market conditions to make sound trading decisions.