Screening Stocks by Turnover, Opening Price, and Rounded-Base Shape

Summary

This stock-selection screen combines a turnover ratio between 3% and 12%, an opening price within 5% of the 10-day moving average, and a chart pattern described as a rounded arc. The article interprets the shape as a possible rising trend and the turnover range as a measure of trading activity. Its formula and Python example express the turnover and moving-average conditions, while leaving the rounded-arc pattern to a platform-specific function.

The document flags the rounded-arc criterion as subjective, so different users or implementations may classify charts differently. It suggests adding fundamental filters and other indicators, or defining patterns more objectively. No backtest, trade rules, or performance evidence is provided, and the screen alone does not specify when to buy or sell. The example demonstrates a selection recipe rather than a complete trading strategy; its results would depend on data quality and how the shape condition is implemented.

Key ideas

• The screen requires turnover between 3% and 12% and an opening price within 5% of the 10-day moving average.
• A rounded-arc chart shape is the third selection condition.
• The article acknowledges that this shape criterion is subjective and may produce inconsistent selections.
• The examples provide no backtest or evidence of trading performance.

Tags

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