Metaverse Stock Screening with a KDJ Golden Cross and Positive 10-Day Return

Summary

This stock selection method screens companies in the metaverse industry for a newly formed KDJ bullish crossover and a positive return over the recent ten trading days, capped below 35%. It selects securities before 10:00 and requires them to be tradable that day. The document describes the crossover as the entry signal and the return band as a way to filter recent price behavior.

The article gives formula and Python examples for calculating the indicator and recent return, along with an explanation of the selection conditions. It cautions that omitting other indicators or fundamental filters, enforcing a strict time window, and using a fixed return interval can all affect results or exclude candidates. It proposes combining signals and adjusting thresholds, but reports no backtest, performance evidence, or validation methodology; the screening logic should therefore be treated as a proposed rule rather than an established profitable strategy.

Key ideas

• The universe is limited to stocks classified in the metaverse industry.
• A newly formed KDJ crossover is used as the bullish selection signal.
• The recent ten trading day return must be positive and below 35%.
• Selection is restricted to tradable stocks before 10:00 on the current trading day.
• The article suggests adding indicators or fundamental filters but provides no performance validation.

Tags

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