Combining Price Amplitude, MACD, and Turnover in a Stock Screen

Summary

The document proposes screening stocks for daily price amplitude above 1%, MACD above its zero line, and turnover between 3% and 12%. It interprets the amplitude condition as selecting volatile shares, positive MACD as indicating upward price momentum, and the turnover band as targeting moderate liquidity. Example formulas and Python code are included to illustrate combining the filters. The page offers no historical test, performance statistics, benchmark, or validation that the conditions predict returns. Its discussion flags possible difficulty exiting positions and missed opportunities in sideways markets, and suggests adding other indicators or volume and market capitalization filters. The example code and formulas are reference material rather than evidence: the displayed implementations use differing data fields and calculations, so their definitions should be checked before practical use. The screen is best understood as a technical selection rule whose behavior depends on data quality, indicator conventions, and execution assumptions.

Key ideas

• The proposed screen combines amplitude above 1%, positive MACD, and turnover between 3% and 12%.
• The rationale associates amplitude with volatility, MACD with upward momentum, and turnover with liquidity.
• The document provides example formulas and code but no backtest or performance evidence.
• The suggested conditions may miss opportunities in sideways markets and may not ensure easy exits.
• Indicator definitions and implementation details should be checked for consistency before use.

Tags

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