A 15-Minute Stock Screen Using MACD Histogram Contraction and Bond Data

Summary

This proposed short-term screen combines price amplitude above 1%, a nonempty convertible-bond name field, and a shrinking MACD histogram on a 15-minute chart. The article frames amplitude as a volatility measure and the histogram change as a possible short-term signal, while suggesting additional indicators and risk controls. It includes formula and Python-style implementation examples and describes excluding some market segments.

The examples are difficult to reconcile: the formula describes a green histogram becoming shorter, but the code checks histogram sign changes in a way that does not clearly express that condition. The amplitude calculations also differ between the descriptions and code. The article acknowledges possible signal lag and rapid-market risk, but gives no backtest results, trading exits, or evidence that the screen has predictive value. The bond-field requirement is included as a data filter without a clear explanation of its economic rationale.

Key ideas

• The screen uses 15-minute MACD histogram contraction, price amplitude, and convertible-bond data availability.
• The article treats histogram contraction as a possible short-term signal and amplitude as a volatility measure.
• It recommends adding other indicators and improving risk controls.
• The formula and code examples do not clearly implement the same conditions.
• No performance evidence, exit rules, or position-sizing method is provided.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.