A Simple MACD, Positive P/E, and Daily-Gain Stock Screen

Summary

This document describes a screen for main-board stocks that combines MACD above zero, positive price-to-earnings ratio, and a daily price gain greater than one percent. It frames MACD as a trend filter, positive P/E as a basic valuation condition, and the daily gain as a short-term strength signal. It also proposes sorting qualifying names by turnover ratio.

The post provides example indicator definitions and screening logic, but no historical test, performance results, or evidence that the combination is predictive. It cautions that a one-day rise may not persist and that these simple indicators omit risks such as earnings quality and industry competition. Suggested extensions include adding fundamental measures, other technical indicators, and diversification. The examples are presented as references rather than a validated trading system, and the screening assumptions and data fields would need verification before use.

Key ideas

• The screen requires MACD above zero, positive P/E, a daily gain exceeding one percent, and main-board listing.
• The proposed ranking uses turnover ratio among the selected stocks.
• The post interprets MACD as a trend filter and the daily gain as a short-term strength signal.
• It warns that one-day price strength may fade and that basic indicators omit important company risks.
• No backtest or measured performance is supplied.

Tags

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