Screening Metaverse Stocks with a Long-Term Average and MACD

Summary

The strategy selects stocks associated with the metaverse theme when the previous day’s closing price is above the 250-day moving average and both MACD lines, DIF and DEA, are above zero. The theme filter narrows the universe, the moving-average condition checks price against a long-term trend reference, and the MACD condition seeks positive momentum. The document describes the screening rules and gives illustrative formula and data-query references, but it reports no backtest results or measured return evidence.

Risks identified include broad market moves, inaccurate company reporting, and false signals from MACD. The author suggests adding other indicators and examining financial statements. The example implementation includes a specific historical date and depends on external market data fields, which may limit reproducibility; it does not establish that the screen is profitable. Its thresholds and theme membership would also need clear definitions and testing across different market periods before practical use.

Key ideas

• The strategy restricts its universe to stocks in the metaverse theme.
• It requires the previous close to exceed the 250-day moving average.
• It also requires both MACD components to be above zero.
• The document offers no performance test for the combined screen.
• Market exposure, financial-reporting problems, and indicator errors are cited as risks.

Tags

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