Screening Stocks for High Amplitude, Turnover, and a Moderate Intraday Drop

Summary

This stock-selection idea screens for shares with daily amplitude above 1%, prior-day turnover above 60 million, and an intraday low between 4% and 5% below the previous close. The author frames the combination as a way to find actively traded, volatile stocks that have fallen noticeably during the session, with the prospect of seeking short-term movement. The post supplies screening conditions and example code, but no backtest, forward results, or evidence that the setup produces an edge.

The author warns that the screen omits company fundamentals and longer-term trend context, and that unusual market conditions could lead to large losses. The suggested improvements are to add fundamental and trend measures, use strict stop losses, and manage holdings carefully. There are also apparent inconsistencies in the example code and prose: one filter is described as prior-day turnover but applies to a volume field, and the stated ratio tests may not correctly express a negative percentage decline. The criteria therefore need verification before implementation.

Key ideas

• The screen selects stocks by amplitude, prior-day trading activity, and a bounded intraday decline.
• The post presents the setup as a short-term opportunity but gives no performance validation.
• Fundamentals and longer-term trend context are absent from the selection criteria.
• The author recommends stop losses and position management to limit risk.
• The example implementation contains possible mismatches between the stated conditions and the fields or calculations used.

Tags

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