PERCENT OF RESISTANCE
Percent of Resistance (PCR) is an oscillator that compares a security's closing
price to its price range over a given time period. It is similar
in function to the Stochastic Oscillator.
Percent of Resistance may be interpreted in the following ways:
Buy when the indicator falls below a specific level (e.g. 20) and then rises above that level.
Sell when the indicator rises above a specific level (e.g. 80) and then falls below that level.
Look for divergences.
For example, prices are showing a series of new highs but PCR is failing to surpass
its previous highs.
The formula for PCR is given as: