Gator Oscillator is based on the Alligator and shows the degree of convergence/divergence of its balance lines (Smoothed Moving Average). The top histogram is the absolute difference between the values of the blue and the red lines. The bottom histogram is the absolute difference between the values of the red line and the green line, but with the minus sign, as the histogram is drawn top-down.
MEDIAN PRICE = (HIGH + LOW) / 2
ALLIGATORS JAW = SMMA (MEDIAN PRICE, 13, 8)
ALLIGATORS TEETH = SMMA (MEDIAN PRICE, 8, 5)
ALLIGATORS LIPS = SMMA (MEDIAN PRICE, 5, 3)
MEDIAN PRICE – the median price;
HIGH – the high price of the bar;
LOW – the low price of the bar;
SMMA (A, B, C) – Smoothed Moving Average. A parameter is for data to be smoothed, B is the smoothing period, C is shift to future. For example, SMMA (MEDIAN PRICE, 5, 3) means that the smoothed moving average is taken from the median price, while the smoothing period is equal to 5 bars, and the shift is equal to 3 bars;
ALLIGATORS JAW – Alligator's jaws (blue line);
ALLIGATORS TEETH – Alligator's teeth (red line);
ALLIGATORS LIPS – Alligator's lips (green line).