# Awesome Oscillator
## Description
Awesome oscillator is an another kind of Moving average convergence/divergence indicator just with predefined input parameters. AO calculates the difference between 34 period SMA and 5 period SMA smoothed with 5 period moving average.
## Formula
5 period SMA - 34 period SMA
## Most useful cases
* **Divergence/Convergence** - Divergence/Convergence pattern is a form of price action when new high(low) of the price not confirmed with a new high/low of AO. Such price and indicator’s behavior can be interpreted as the weakness of current existing trend.
* **Crossing zero line** - this is a trend reversing signal and it can be very useful in case of determining a correction of existing trend, beginning of a new trend wave or starting a new trend.
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