Bill Williams's Awesome Oscillator Technical Indicator (AO) is a 34-period simple moving average, plotted through the bars midpoints (H+L)/2, which is subtracted from the 5-period simple moving average, built across the bars midpoints (H+L)/2. It shows us quite clearly what’s happening to the market driving force at the present moment.
This version :
It is using volume weighted moving average instead of using SMA (Simple Moving Average). That way it becomes more responsive to volume (volatility) changes during the day
You can use color changes (mainly on zero cross) for trend change signals