Moving Average of Oscillator
Moving Average of Oscillator
Section titled “Moving Average of Oscillator”Moving Average of Oscillator is calculated by finding the difference between the oscillator and oscillator smoothing.
Usage of Moving Average Convergence/Divergence
Section titled “Usage of Moving Average Convergence/Divergence”In this particular case, Moving Average Convergence/Divergence (MACD) base-line is used as the oscillator, and the signal line is used for smoothing.
Calculation of OsMA
Section titled “Calculation of OsMA”OSMA = MACD - SIGNALWhere:
MACDis the main MACD line (fast EMA minus slow EMA);SIGNALis the signal line of the MACD.
A value above zero means the MACD is above its signal line. When OsMA crosses the zero line, the MACD crosses its signal line.