Technical

What is Awesome Oscillator (AO)?

The gap between a 5-period and 34-period simple moving average of the bar midpoint, plotted as a histogram around zero.

Formula

AO = SMA(Midpoint, 5) βˆ’ SMA(Midpoint, 34), where Midpoint = (High + Low) Γ· 2

How to Interpret

Zero-line crosses are the primary signal β€” AO crossing above zero says short-term drive has overtaken the longer baseline. Histogram color/slope changes (momentum building vs. fading) front-run the crosses. Uses bar midpoints instead of closes to dampen end-of-day noise.

Typical Ranges

No fixed thresholds β€” the zero line and histogram shape carry the information. Functionally a cousin of MACD with fixed settings; using both is largely double-counting.

Find Stocks Using This Signal

Screen US and Indian stocks by Awesome Oscillator in the Technical Screener.