Screening Stocks by Price Amplitude, Rising Averages, and Dividends

Summary

This article describes an equity screen combining price amplitude above a stated threshold, an upward relationship among recent moving averages, and a 2019 dividend payout ratio above a stated threshold. It frames the conditions as a way to find volatile stocks with rising price trends and substantial dividends, and gives example indicator logic and a Python implementation outline.

The article supplies no backtest, selected-stock results, or evidence that the rules produce superior returns. It warns that amplitude and moving-average signals can be distorted by short-term speculation, while dividend data may not predict actual distributions. It suggests adding dividend yield and dividend history, updating the screen as payout information changes, and considering other factors. The example implementation also includes a price-to-book filter, which is not part of the article's stated final screening rules, so the sample code and strategy description are not fully aligned.

Key ideas

• The screen combines price amplitude, a rising short-term moving-average relationship, and a historical dividend payout condition.
• The article offers indicator and code examples but no performance test or return evidence.
• Short-term price action can distort amplitude and moving-average signals.
• Historical payout ratios may not reliably predict future distributions, and the code example adds a price-to-book filter beyond the stated rules.

Tags

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