I have eyes and can see the changes in the top left corner. The tanker noses down... the AWACS seems to rise but it is actually not. Then the tanker rises and noses back down. That makes the AWACS seem to oscillate when actually it is the tanker. The AWACS then noses down to clear the tanker.
Or may the sky was oscillating with the AWACS. 
You are seeing what you want to see. There's a bit of optical illusion going on with the rearward view and the hazy sky. When you hear the "go,go,go" that's the boomer telling the tanker pilots to push it up and accelerate, i.e. an escape maneuver. The tanker pilots obviously can't see the receiver and therefore can't safely pitch up or down to avoid a collision. The only real option they have is to accelerate and run away. The AWACS got slightly out of postion during hookup, appears to have caused a brute force disconnect because of the lateral offset, over corrected, got high into the tanker's jet wash (not a pleasant experience in itself), and then rapidly pitched down to escape.
The tanker is typically on auto pilot during refueling in order to further enhance the stable platform during aerial refueling. The receiver, on the other hand, is being hand flown and thus provides the "airshow" sometimes seen during refueling.
Here's how that should have gone:
http://m.youtube.com/watch?v=t-ytpmbAgJwIn this one, note the the stable tanker platform is in a right hand turn while the AWACS joins and hooks up.
http://m.youtube.com/watch?v=G5LvmmHJ0XQThe movement you see is the AWACS making small, controlled adjustments to maintain position as it flys formation with the tanker. The tanker is in level flight, at a constant airspeed, in a predetermined refueling pattern, i.e. a stable platform. The receiver is doing all the flight path adjusting.