PPO (Percentage Price Oscillator)
The PPO (Percentage Price Oscillator) is a momentum oscillator that measures the difference between two moving averages as a percentage of the larger moving average. Like the MACD, the PPO is composed of a PPO line, a signal line, and a histogram. The PPO is used to identify trend direction, momentum, and potential trend reversals.
Arguments
| Name | Description |
|---|---|
fast_period | period for fast EMA |
slow_period | period for slow EMA |
signal_period | period of signal EMA |
type | one of value, signal or histogram |
Useful Signal Expressions
1. PPO Histogram Crossover (Bullish)
Signal:
close().ppo(12, 26, 9, histogram).crosses_above(0)
Explanation: The PPO histogram crosses above the zero line, which is a bullish signal, similar to the MACD.
2. PPO Histogram Crossover (Bearish)
Signal:
close().ppo(12, 26, 9, histogram).crosses_below(0)
Explanation: The PPO histogram crosses below the zero line, which is a bearish signal.
3. PPO Line crosses above Signal Line
Signal:
close().ppo(12, 26, 9, value).crosses_above(close().ppo(12, 26, 9, signal))
Explanation: The PPO line crosses above the signal line, a classic bullish PPO signal.