Wednesday, June 11, 2008

Awesome Oscillator

Awesome Oscillator determines market momentum (the second of five market dimensions) at a given time on the last 5 bars, comparing them to the momentum on the last 34 bars.
Awesome Oscillator is simply the difference between the 34 period and 5 period simple moving averages of the bar’s midpoints (H+L)/2. Awesome Oscillator is displayed on the chart as:

Each bar which is higher than the preceding one is red, each histogram bar which is lower than the preceding one is green.
Signals to buy:
This is the only signal to buy that comes when the bar chart is higher than the naught line
The saucer signals generated when the bar chart reverse its direction from up to downward where the second column is lower than the first one and is colored red, the third column is higher than the second and is colored green & should have at least three columns.
Signals to sell:
Awesome Oscillator Saucer sell signal is the opposite of the Awesome Oscillator Saucer buy signal
The saucer signal is reversed and is below zero. Naught line crossing is on the decrease, the first column of it is over the naught & the second one is under it. The two pikes signal is higher than the naught line and is reversed too.

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