A Seven-Day Decline Screen with Turnover and Limit-Up Filters

Summary

This stock selection idea screens for shares with turnover between 3% and 12%, a sequence of seven declining closes, and no limit-up event on the previous day. The post provides both a formula-style reference and a Python outline for checking turnover, recent closes, and the prior session’s high relative to the previous close. Its rationale is to find sustained weakness while avoiding stocks that have just experienced a sharp upward move.

The article acknowledges that the screen omits fundamentals, industry conditions, capital flows, and broader market context, and it suggests adding such filters or other indicators. It provides no backtest results or evidence that the screen predicts reversals or returns. The formula and code may also need adjustment to match a data provider’s field names and limit-up rules; the post itself notes that data definitions can vary. The strategy is therefore a candidate selection rule, not a validated trading system.

Key ideas

• The screen combines a turnover range with seven consecutive non-rising closes.
• It excludes stocks that reached a limit-up threshold in the previous session.
• The post proposes adding fundamental, industry, and market-context filters.
• No performance test is supplied, and data conventions may require code changes.

Tags

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