Pre-Open Stock Screen Using Relative Volume and Price Filters

Summary

This stock-selection method ranks candidates by volume ratio, from highest to lowest, while applying two price filters: the previous session was not limit-up, and the live gain at 9:25 is below 6%. It is presented as an intraday opening screen intended to find stocks with strong relative activity and a moderate pre-open rise. The article describes the previous-day test in terms of closing prices, although its explanation is not precise enough to fully define how limit-up status is determined.

The rationale is that relative volume may indicate capital interest, while excluding prior limit-up stocks and capping the current opening gain may focus the selection. No backtest, sample, or outcome data is given to support that rationale. The article notes that the method omits company fundamentals and industry conditions and could select weak stocks or miss opportunities. Its code example is incomplete, so it is not sufficient to reproduce the full screen as written.

Key ideas

• Candidates are ranked by volume ratio in descending order.
• The screen excludes stocks that closed at limit-up on the previous day.
• It requires the live gain at 9:25 to be below 6%.
• The proposed rationale relies on relative activity and a moderate opening move, without performance evidence.
• The article identifies missing fundamental and industry analysis and supplies incomplete example code.

Tags

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