Combining Volatility, Weekly MACD, and Fundamentals for Stock Selection

Summary

The document presents a stock screening idea that combines daily price amplitude, a positive weekly MACD signal, and company characteristics. It first describes company type as an ambiguous criterion, then proposes making the fundamental screen more specific with market capitalization above 10 billion yuan, five-year net profit growth above 10%, and return on equity above 15%. Example implementations are shown for a Chinese stock screening formula and a Python workflow using price, MACD, and fundamentals data.

The post also describes ranking eligible stocks by recent trading volume relative to its average, selecting the highest-ranked result. It warns that vague company or sector criteria can invite subjective choices and chasing popular themes, and recommends clarifying the fundamental measures and revisiting the rules over time. These are screening rules and code examples, not reported backtest or live-trading results. The document does not establish whether the signals predict returns, and the provided implementations may need adaptation to the data platform and the intended interpretation of weekly MACD.

Key ideas

• The proposed screen combines price amplitude, a positive weekly MACD reading, and fundamental filters.
• The refined fundamental criteria include market capitalization, multi-year profit growth, and return on equity thresholds.
• A volume-based ranking is described for ordering stocks that pass the filters.
• The post cautions that vague company criteria can introduce subjectivity and theme-chasing.
• The document supplies example implementations but no performance evidence or validation results.

Tags

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