Combining Intraday MACD, Weekly Moving Averages, and Amplitude for Stock Screening

Summary

This stock-screening proposal combines three technical conditions: amplitude above a threshold, a shrinking negative MACD histogram on a 15-minute chart, and a weekly relationship involving the 30-week moving average. The intended rationale is to find volatile stocks whose short-term downward momentum may be easing while a longer-term trend is turning upward. The document also suggests adding market sentiment measures such as fund flows or sector performance, using objective thresholds, and considering further indicators.

It provides sample indicator expressions and a Python-style workflow using stock data, MACD, and a rolling weekly average. However, the written condition says the weekly price crosses above the 30-week average, while the shown formula and implementation do not consistently encode that same crossover; the amplitude example also uses turnover ratio in the code. These discrepancies mean the screening logic needs verification before use. No backtest results, transaction costs, or evidence of predictive performance are reported, and the suggested combination should be treated as a hypothesis rather than a demonstrated strategy.

Key ideas

• The proposed screen combines a high-amplitude condition, a contracting negative 15-minute MACD histogram, and a weekly moving-average signal.
• The intended setup seeks easing short-term selling pressure alongside a possible longer-term trend reversal.
• The document recommends objective thresholds and additional sentiment or technical inputs as possible refinements.
• The sample formulas and code do not consistently match the stated weekly crossover and amplitude conditions.
• No performance testing is presented, so the screening idea has unverified predictive value.

Tags

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