Screening Stocks by Trading Range, Large-Order Flow, and Prior Limit Status

Summary

This selection method looks for stocks with amplitude above 1, ranks them by large-order net volume, and excludes stocks that closed at the upper price limit on the previous day. The article includes sample screening logic and Python-style data retrieval, with an example that ranks candidates by five-day gains. It describes the filters as a way to focus on recent market activity while avoiding stocks that just hit the daily limit.

The article offers no backtest results or measured evidence that the criteria improve returns. It notes that the screen captures local market movements rather than company fundamentals or longer-term trends, so its selections may be unstable across industries and market conditions. Suggested additions include valuation, market capitalization, sector information, and other indicators. The code is illustrative, and the article does not fully reconcile the named ranking criterion with all implementation details, so the operational definition would need checking before use.

Key ideas

• The screen combines a price-amplitude threshold, large-order net-volume ranking, and a prior-day limit-up exclusion.
• The example implementation uses recent daily history and sorts candidates by five-day gain.
• The method focuses on short-term market activity and may miss fundamentals and longer trends.
• The document supplies no performance test demonstrating the screen's effectiveness.

Tags

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