Description

• Founded by Mel Widner, it is stochastic of projection band
• It is used to locate close relative to upper and lower projection bands
• It oscillates between 0 to l00 level. A value of 50 means that close is equidistant from top and low band
• It shows over bought/sold situations
• Since it considers projection bands as its input, it is more sensitive to price change than stochastic

Interpretation

• Oscillator moving below 20 levels is oversold, moving above 80 is overbought
• ProjOsc cutting level 20 upward is a buy signal
• ProjOsc cutting level 80 downward is a sell signal

Default Parameters Used/Inputs

• Bars
• Slowing Bars

Returns/Output

ProjOsc values of stock for the specified period

Formula

ProjOsc = [(Close – Low Band) / (Top Band – Low Band)] * 100
where,
Band = Projection Bands (Top Band & Low Band)