Combining Price Range, Large-Order Flow, and Turnover in a Stock Screen

Summary

This stock-selection idea combines three measures: a daily high-low range greater than 1% of the prior close, a large-order net-flow ranking or threshold, and prior-day actual turnover between 3% and 28%. The intended aim is to identify active stocks with notable price movement and large-order activity. The article supplies example formula and Python references and describes sorting selected stocks by turnover, but the code examples do not consistently match the written description: some use volume changes as a proxy for turnover, and the ranking condition is not fully explained.

The article cautions that the screen omits company fundamentals, industry conditions, and overall market context, and that selected stocks can still fall during risky markets. It recommends adding technical, sector, and fundamental analysis. Despite suggesting that the combined factors may improve selection, it reports no backtest, measured returns, or validation. The thresholds and flow measure should therefore be treated as screening choices to investigate, not evidence that the selected stocks offer superior returns.

Key ideas

• The screen combines a daily range above 1% with a large-order flow measure and prior-day turnover bounds.
• It aims to identify stocks with price movement and active trading.
• The examples use volume-related calculations that do not consistently match the stated turnover condition.
• The article advises considering fundamentals, industry conditions, and broader market context.
• No backtest or evidence of improved returns is provided.

Tags

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