Screening Small Profitable Stocks with Turnover and Moving Averages

Summary

This stock screen combines a market capitalization ceiling, a turnover range, a positive earnings condition, and an upward moving-average ordering. The stated formula uses the five-day average above the ten-day average and the ten-day average above the twenty-day average. The post frames this alignment as a possible sign of rising price momentum and proposes adding company financial measures such as profitability, cash flow, and valuation for a broader assessment.

The document supplies an indicator formula and sample data-fetching code, but it reports no backtest, benchmark comparison, or realized trading results. Its prose cautions that moving averages alone do not account for market conditions or business fundamentals, and that an upward alignment does not ensure future gains. The sample code’s conditions appear inconsistent with its stated screen: the comparisons shown for moving averages test the reverse ordering, while some turnover and market-cap checks do not clearly enforce the described bounds. Those discrepancies make the example difficult to treat as a validated implementation.

Key ideas

• The screen combines company size, turnover, profitability, and moving-average alignment.
• The stated technical condition places the five-day average above the ten-day average and the ten-day above the twenty-day.
• The post recommends considering financial strength and valuation alongside price signals.
• Moving-average alignment does not guarantee future gains or account for broad market conditions.
• The sample code appears to reverse the stated average ordering and does not establish strategy performance.

Tags

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