Combining Price Amplitude, MACD, and Dividend Payout Screening

Summary

This stock screen combines daily amplitude above 1%, a MACD reading above its zero line, and a 2019 dividend ratio exceeding 25%. The article frames amplitude as a volatility filter, MACD as a technical condition, and the dividend measure as an indication of distribution capacity. It provides formula examples and Python-style steps for calculating the conditions and returning matching stock codes.

The document cautions that payout ratios can vary with company profits and that relying on a single financial measure can make selection unstable. It recommends incorporating broader company fundamentals and financial data. No backtest, performance record, benchmark, or evidence that these particular thresholds improve returns is presented. The code examples also use differing amplitude denominators and describe the MACD condition in slightly different ways, so an implementation would need to define those calculations consistently. The screen is a historical, rule-based candidate filter; it does not specify portfolio construction, trading costs, exits, or risk controls.

Key ideas

• Candidates must pass an amplitude threshold, a positive MACD condition, and a historical dividend ratio threshold.
• The dividend condition references 2019 distributions and may be sensitive to profit fluctuations.
• The article supplies indicator formulas and example screening code.
• No test results are given to establish the screen’s effectiveness.
• The examples leave some calculation details inconsistent, so implementation choices matter.

Tags

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