Screening for Rising Bases and Recent 10% Daily Gains

Summary

This post describes an equity screen that combines price movement and recent strength: amplitude above one, a rising price bottom, and at least one daily gain of 10% or more during the previous 25 trading sessions. It presents the conditions as a way to find stocks with active short-term movement and improving price structure, and gives sample formula and Python implementations. The examples are references rather than a validated trading system, and the bottom and amplitude calculations are not fully defined consistently across them.

The post cautions that the screen can be disrupted by sudden news or other market events and may miss stocks that rise steadily without a large daily jump. It suggests adding volume, moving averages, and valuation measures, while adjusting selection rules for market and industry conditions. It reports no backtest, performance figures, or evidence that these additions improve results, so the approach should be treated as a proposed screening concept rather than an established strategy.

Key ideas

• The screen requires amplitude above one and a rising price bottom.
• It also requires at least one daily gain of 10% or more over the preceding 25 sessions.
• The post suggests adding volume, moving averages, and valuation measures for further screening.
• Sudden events can affect signals, and the filter may miss stocks with steadier gains.
• The document provides no performance evidence or validated backtest.

Tags

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