I don't know that that specific version of stochastics has been tested.
Knock yourself out, and let us know what you find!

But there are several simple signals very much along the same lines,
based on where the current price falls among a set of recent prices.
A 2006 thread on that general subject.
http://boards.fool.com/mi-and-technical-exits-24546832.aspx?...

My simple calendar month technical timing suggestion uses a similar stochastics method
http://boards.fool.com/monthly-timing-29448264.aspx
(#4 of the 4 models mentioned there)

Jim