Screening Stocks by Intraday Range, Year, and a Low K Indicator

Summary

This post describes a stock screen using three conditions: a daily high-low range exceeding one percent of the previous close, a trading date in 2021, and a smoothed stochastic-style K value below 20. It supplies formula and Python examples for calculating the range condition, restricting observations by year, and applying the K threshold. The post frames a low K reading as a possible buying opportunity and high range as evidence of greater volatility.

The material is a rule specification rather than a tested trading strategy: it reports no selected-stock results, backtest, or returns. Its interpretation of a low K value as an entry signal is not validated, and the year filter confines the sample to a historical period. The author cautions that high-range stocks carry greater risk and that candlestick indicators are limited, and recommends combining other factors, using risk controls, and periodically evaluating the rules.

Key ideas

• The screen requires a daily high-low range above one percent of the prior close.
• It restricts qualifying observations to the year 2021 and requires the smoothed K value to be below 20.
• The post interprets high range as elevated volatility and low K as a possible buying opportunity.
• No backtest results or performance evidence are provided.
• The author recommends combining indicators with other analysis and risk controls.

Tags

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