A Stock Screen Combining Weekly MACD, Daily Range, and Recent Highs

Summary

The document describes a technical stock screen that combines three conditions: daily amplitude above a threshold, a positive weekly MACD histogram, and a current high matching the highest high over the recent two-day window. It frames these conditions as a way to identify stocks with upward price movement and positive technical momentum. It also sketches implementations in a Chinese stock screening platform and in Python, using daily and weekly price data.

The post cautions that the screen ignores company fundamentals and can be distorted by low trading volume. It suggests adding indicators such as KDJ or RSI, but does not specify precise rules for combining them. The Python example’s amplitude calculation uses the standard deviation of daily highs, which does not directly match the stated amplitude condition; its weekly MACD inputs also use lows. No backtest, benchmark, transaction-cost analysis, or performance results are provided, so the screen is an unvalidated rule set rather than evidence of an effective strategy.

Key ideas

• The screen requires daily amplitude above a threshold, a positive weekly MACD reading, and a recent two-day high.
• The author presents the rules as a way to find stocks with upward technical momentum.
• The post warns that low volume may make price moves and signals unreliable.
• The screen omits fundamental information and suggests adding other technical indicators.
• No backtest or performance evidence is supplied, and the code examples do not fully match the stated rules.

Tags

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