A Technical Stock Screen Using Amplitude, Rounded Shape, and Rising DEA
Summary
The post describes a stock-selection screen based on three technical conditions: price amplitude above a threshold, a rounded price shape, and a rising DEA indicator. It interprets the amplitude condition as a way to select active stocks without excessive movement, the rounded shape as relatively smooth movement around a moving average, and rising DEA as a sign of improving recent momentum. An indicator formula is included as a reference, but the accompanying Python implementation is not supplied.
The author cautions that the screen relies only on technical information and cannot assess company fundamentals. A rising DEA reading may reflect a temporary rebound, and the approach may be affected by broader market conditions. The post suggests combining additional indicators and adjusting criteria as conditions change, but provides no backtest, trading rules for execution, or measured results. Treat it as a proposed screening idea rather than evidence of a validated strategy.
Key ideas
- The proposed screen combines amplitude, rounded price behavior, and rising DEA.
- The post frames the conditions as a way to identify active stocks with improving technical momentum.
- It warns that technical signals do not capture company fundamentals and may be temporary.
- Additional indicators and adjustment to market conditions are suggested, but no performance evidence is presented.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.