The Absolute Price Oscillator is related to the Percentage Price Oscillator and loosely related to the MACD. It is simply a calculation of the difference between two Exponential Moving Averages. e.g. :
The final calculations result in a line that oscillates above and below the 0 (zero) point as each EMA crosses over. This indicator is best used when using pairs of EMA's on the main chart surface, and aligning the respective Percentage Markers. In this way, the distance between approaching EMA lines is much easier to visualize.
