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Random article: Awesome Oscillator
The Awesome Oscillator Indicator (AO) by Bill Willams is an indicator showing the difference between two simple moving averages that helps to define moving strength of the market. Bill Williams developed this indicator on the basis of earlier existed MACD and made a number of changes. What these two indicators have in common is two simple moving averages.
Simple Moving Average is one of the easiest and popular technical indicators on the Forex market used for defining trend's direction. SMA is calculated as an average arithmetic value of Close prices for a certain number of time frames:
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