Equity Screen for Range, Ten-Day Gains and Shortening MACD Bars

Summary

This Chinese equity screening idea selects stocks with a daily range greater than 1%, a positive ten-day return below 35%, and shortening MACD histogram bars on a 15-minute timeframe. The proposed rationale is to find stocks with some recent upward movement but without an extreme ten-day rise, while using a shrinking negative histogram as a possible sign that short-term downside momentum is easing.

The note gives indicator parameters for MACD and sample screening logic, but it does not provide historical results, a defined entry or exit plan, or evidence that the conditions predict returns. The sample includes a ranking by order imbalance, adding a selection step beyond the three headline filters. The author identifies MACD's lag and reliance on a single intraday timeframe as limitations, and suggests combining other indicators, checking additional timeframes and applying position sizing. These are proposals rather than tested improvements; the screen should be treated as a candidate-generation rule, not a complete strategy.

Key ideas

• The screen requires a daily high-low range above 1% and a positive ten-day gain below 35%.
• It uses shortening MACD histogram bars on a 15-minute timeframe as a possible sign of easing downward momentum.
• The sample logic also sorts candidates by order imbalance, which is not part of the headline criteria.
• The note provides no backtest results or complete trade-management rules.
• It flags indicator lag and single-timeframe dependence, and proposes other indicators, timeframes and position sizing for consideration.

Tags

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