Chaikin oscillator
The MACD of the Accumulation/Distribution line — the difference between a fast and slow EMA of A/D — used to spot momentum shifts in volume flow.
What the numbers mean
The two numbers are fast and slow EMA periods applied to the Accumulation/Distribution line — it is a MACD built on volume flow rather than on price.
- 3 — the fast EMA applied to the A/D line
- 10 — the slow EMA
- 0 — where the two EMAs of A/D cross
- It is a MACD built on volume flow rather than on price
How it is used
Read for zero-line crossings and divergence, as an earlier signal than the A/D line itself gives, since the oscillator turns when the rate of accumulation changes rather than when the direction does.
- Zero-line crossings → the rate of accumulation changing direction
- Divergence against price → an earlier warning than the A/D line gives
- Turns before A/D does, because it measures the rate rather than the level
How it relates to everything else
If A/D is the position, the Chaikin Oscillator is the speed. It gives earlier signals for exactly that reason, and is noisier for the same reason — being two steps removed from price with no fixed scale to judge extremes against.
- MACD structure applied to A/D
- Earlier than A/D, noisier than CMF
- Read zero crossings alongside price structure, not alone
What to watch for
Being two steps removed from price makes it noisy, and its extremes have no fixed scale to judge them against.