The Price Oscillator or simply PPO, shows the difference between two moving averages. These consist of two Simple Moving Averages – “SMA”: a “Long” and a “Short” moving average, set to default values of 28 respectively 14.
The PPO is displaying the difference between the two moving averages as a percentage of the Short SMA (other analysts may choose to calculate based on the Long SMA), calculated by simply subtracting the Long SMA from the Short SMA, and dividing this value by the Short SMA:
((Short SMA-Long SMA)/Short SMA)*100
If the value for the Short SMA is > the Long SMA the PPO is positive etc. The PPO is an oscillator with values fluctuating around the 0 value.