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Screening Stocks for High Range, Above-MA5 Price, and Three Declines

Article SuperMind

Summary

This Chinese-language post describes a stock screen combining three conditions: daily high-to-low range above a threshold, the current close above its five-day moving average, and three consecutive sessions of lower closes. The proposed interpretation is that the moving-average condition keeps the stock above its very short-term average while the recent declines may create a possible rebound setup. The post includes example implementations for a charting formula and Python, though these are references rather than a fully specified, tested strategy.

The document provides no historical results, benchmark, holding period, entry or exit rules, or risk-adjusted analysis. Its rationale is qualitative: a large range may indicate opportunity, and a short decline may be followed by a recovery. Those conditions alone do not establish that a rebound is likely. The post itself cautions that three declining closes do not guarantee a large further fall and that the screen may miss other candidates; it recommends considering market, industry, policy, and fundamental context alongside technical conditions.

Key ideas

  • The screen selects stocks with a large daily range and a close above the five-day moving average.
  • It also requires three consecutive sessions in which each close is below the previous close.
  • The post frames the recent declines as a possible rebound setup, without demonstrating predictive performance.
  • It gives example screening code but leaves trade timing, exits, and holding period unspecified.
  • The author notes that the conditions can miss opportunities and should be considered with broader context and risk controls.

Tags

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