MACD x OsMA_trying to understand to create a simple expert

[eduardo fiuza]

I know exactly how MACD (with two lines and histogram) works, but how Moving Average of Oscilator (OsMA) works?

There are three parameters:EMM fast, EMM slow and MACD SMA.

Thanks!!!

[Brian Dee - Random Trader]

edfiuza:
I know exactly how MACD (with two lines and histogram) works, but how Moving Average of Oscilator (OsMA) works?

There are three parameters:EMM fast, EMM slow and MACD SMA.

Thanks!!!

From BoL

"Moving Average of Oscillator is the difference between the oscillator and oscillator smoothing. In this case, Moving Average Convergence/Divergence base-line is used as the oscillator, and the signal line is used as the smoothing."

i.e.

OsMA does the same calculations off the same paramaters as MACD but shows the results differently.

OsMA only shows the difference between the MACD lines - representing the difference as a histogram (that histogram can be seen on some MACD variants).

Depending on your use in an EA, OsMA can be easier to code

-BB-