Medical Book
Would you like to react to this message? Create an account in a few clicks or log in to continue.

Medical Book

Buy Textbooks | Autoclaves | stethoscopes | Buy Books Online | Buy Medical Textbooks | Textbooks | Equipment | Nutrition | USMLE | MRCP | MRCS | Dental | Sport Medicine | Cardiology | Medical Textbook | Surgery | Pregnancy | Anatomy | Radiation | Pedia |
 
HomeLatest imagesPublicationsRegisterLog in

Share
 

 How To Use Awesome Oscillator Indicator

View previous topic View next topic Go down 
AuthorMessage
painofhell

painofhell

Male Posts : 669
Birthday : 1990-05-18
Join date : 2014-08-16
Age : 34
Job/hobbies : forex

How To Use Awesome Oscillator Indicator Empty
PostSubject: How To Use Awesome Oscillator Indicator   How To Use Awesome Oscillator Indicator Icon_minitimeFri Jan 23, 2015 5:40 am

Awesome Oscillator Definition
Awesome Oscillator (AO) is a momentum indicator reflecting the precise changes in the market driving force which helps to identify the trend’s strength up to the points of formation and reversal.

How to Use Awesome Oscillator Indicator in Forex Trading
There are three main signals which may be seen:

Saucer – three consecutive columns above the nought line the first two of which must be colored red (the second one is lower than the first one) while the third one is colored green and higher than the previous (second) one. Such a formation would be a clear Buy signal whilst inverted and vertically flipped formation would serve as a Sell signal.

Nought line crossing – the histogram crosses the naught line in an upward direction changing its values from negative to that of positive ones. In this situation we have a Buy signal. The Sell signal would be a reversed pattern.

Two pikes – the indicator displays a Buy signal when the figure is formed by two consecutive pikes both of which are below the naught line and the later-formed pike is closer to the zero level than the earlier-formed one. The Sell signal would be given by the reverse formation.
How To Use Awesome Oscillator Indicator AwesomeOscillator


Awesome Oscillator Trading Strategy
Awesome Oscillator Strategy includes 3 ways of trading. The first way is to open a sell position when the oscillator is below the zero line forming a peak, and open a buy position when the oscillator is above the zero line forming a gap.

Another way is to open a sell position when the oscillator forms two peaks above the zero line, where the second high is lower than the previous one. And, conversely, traders watch to open a buy position when the oscillator forms to lows below the zero line with the last one not as low as the previous one.

The third way is to account crossing the zero line. When the oscillator crosses it from up to down, it is time to open a sell position and when it crosses from down to up, it is time to open a buy position.

Awesome Oscillator Formula (Calculation)
Awesome Oscillator is a 34-period simple moving average, plotted through the central points of the bars (H+L)/2, and subtracted from the 5-period simple moving average, graphed across the central points of the bars (H+L)/2.

MEDIAN PRICE = (HIGH+LOW)/2

AO = SMA(MEDIAN PRICE, 5)-SMA(MEDIAN PRICE, 34)

Share
Back to top Go down
 

How To Use Awesome Oscillator Indicator

View previous topic View next topic Back to top 
Page 1 of 1

 Similar topics

-
» Chart Pattern - Stochastic Oscillator
» ADX Indicator Explained
» Ichimoku Indicator
» How To Use Alligator Indicator
» How To Use Momentum Indicator

Permissions in this forum:You cannot reply to topics in this forum
Medical Book :: Forex :: Forex Education and Learning-