ADOSC

Type: adosc • Category: indicators

Description

Chaikin A/D Oscillator

Parameters

Name	Type	Description	Required	Default
dataExp	string	data with prices	no
high	string	select the column with highest prices	no
low	string	select the column with lowest prices	no
close	string	select the column with closing prices	no
volume	string	select the column with volume	no
fastperiod	number	Fast period for Chaikin A/D Oscillator	no	3
slowperiod	number	Slow period for Chaikin A/D Oscillator	no	10

Help

ADOSC: Chaikin A/D Oscillator

Description

The ADOSC worker is an indicator used in financial analysis to calculate the Chaikin A/D Oscillator. This oscillator is a momentum indicator that uses the accumulation/distribution line to gauge the money flow into or out of a security.

The Chaikin A/D Oscillator is calculated by subtracting a 10-period simple moving average (SMA) of the accumulation/distribution line from a 3-period SMA of the same line. The result is an oscillator that fluctuates above and below a zero line, providing insights into the buying and selling pressure of a security.

What does this worker do?

The ADOSC worker takes in data with prices and calculates the Chaikin A/D Oscillator using the following parameters:

• dataExp: data with prices
• high: select the column with highest prices
• low: select the column with lowest prices
• close: select the column with closing prices
• volume: select the column with volume
• fastperiod: Fast period for Chaikin A/D Oscillator (default: 3)
• slowperiod: Slow period for Chaikin A/D Oscillator (default: 10)

The worker returns the calculated Chaikin A/D Oscillator values.

How to interpret the results

The ADOSC oscillator can be interpreted as follows:

• When the oscillator is above the zero line, it indicates that the buying pressure is stronger than the selling pressure, which can be a bullish sign.
• When the oscillator is below the zero line, it indicates that the selling pressure is stronger than the buying pressure, which can be a bearish sign.
• Crossovers above or below the zero line can be used as buy or sell signals.

Usage

To use the ADOSC worker, simply provide the required data and parameters. The worker will calculate and return the Chaikin A/D Oscillator values.

Example usage

// Example code to use the ADOSC worker
data = [
  { high: 10, low: 5, close: 7, volume: 100 },
  { high: 12, low: 6, close: 8, volume: 150 },
  // ...
];

adosc = ADOSC(data, {
  high: 'high',
  low: 'low',
  close: 'close',
  volume: 'volume',
  fastperiod: 3,
  slowperiod: 10,
});

Visualizing the ADOSC

The following animated GIFs demonstrate how to use the ADOSC worker:

Additional knowledge

The Chaikin A/D Oscillator was developed by Marc Chaikin, a well-known technical analyst. The oscillator is based on the accumulation/distribution line, which is a popular indicator used to gauge the money flow into or out of a security.

The ADOSC oscillator is often used in conjunction with other technical indicators to confirm trading signals. It can be used on various time frames, from short-term to long-term, and can be applied to different types of securities, such as stocks, futures, and forex.

By using the ADOSC worker, traders and investors can gain insights into the buying and selling pressure of a security, which can help inform their investment decisions.