The Aroon Oscillator function is calculated as the difference between the Aroon Up and Aroon Down indicators, with resulting values ranging from -100 to 100. An uptrend in stock price is indicated when the Aroon Oscillator value is positive. A downtrend is indicated when the oscillator value is negative. The further away the Aroon Oscillator value is from the zero line, the stronger the trend. Applications of the Aroon Oscillator include determining whether a stock is trending or not, and gauging the strength of the current trend.
Aroon Up indicator:
Aroon Down indicator:
The Aroon Oscillator functions require the following input series:
- d0 - Input data values - The set of data values for which the Aroon Oscillator is calculated, usually the daily close price of a stock.
The Aroon Oscillator function requires the following parameters:
- s0 - Period - The number of time periods to use in the calculation. Default value is 14.
- Alignment (Optional) – Hierarchy placeholder to be used as the alignment axis.
The AROONOSC function generates the following output:
- Aroon Oscillator - The Aroon Oscillator result set, which consists of values between -100 and 100, with the zero value representing a crossover point.
The AROONOSCUP function generates the following output:
- Aroon Up - The Aroon Up indicator, which consists of values between 0 and 100. A higher value indicates a stronger uptrend.
The AROONOSCDOWN function generates the following output:
- Aroon Down - The Aroon Down indicator, which consists of values between 0 and 100. A higher value indicates a stronger downtrend.