Awesome Oscillator Zero Crosses with an EMA Trend Filter

Summary

This simple directional strategy pairs an Awesome Oscillator zero-line cross with a short EMA filter. It enters long when the oscillator crosses above zero while price is above the EMA, and enters short when it crosses below zero while price is below the EMA. The script plots the EMA and defines alert conditions for both signals. Its inputs specify fast and slow oscillator periods as well as the EMA period, though the displayed calculation calls the platform’s built-in Awesome Oscillator function directly.

The document provides no stop-loss, take-profit, position-sizing, or exit rules beyond opposite-direction entries, and it reports no backtest results. It therefore describes an entry signal rather than a complete trading plan, and offers no evidence about transaction costs, drawdowns, or performance across markets. The approach may be useful as a compact trend and momentum filter to evaluate, but its parameter choices and effectiveness require independent testing.

Key ideas

• A long signal occurs when the Awesome Oscillator crosses above zero and price is above the EMA.
• A short signal occurs when the oscillator crosses below zero and price is below the EMA.
• The script plots the trend EMA and provides alert conditions for both entry directions.
• No explicit risk sizing, protective exits, or backtest evidence is included.
• The displayed oscillator settings are not visibly connected to the built-in calculation in the source.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.