Screening Stocks for High Volatility, Strong Daily Gains, and Rising Averages

Summary

This article describes a technical stock screen seeking high daily price ranges, at least one daily gain of 10% or more within the previous 25 trading days, and an upward alignment of moving averages. Its suggested refinement requires the close to be above moving averages with periods of 5, 10, 20, and 60 sessions, and adds placeholders for fundamental filters and other technical or valuation measures. Formula and Python examples illustrate parts of the proposed screening logic.

The article warns that the screen can select companies with weak fundamentals and that upward moving average alignment does not guarantee a sustained rise. It recommends adding financial quality checks and broader trend conditions. No backtest, performance evidence, or precise definition of the amplitude threshold is supplied; the examples also leave the fundamental and additional indicator filters unspecified. The proposal is therefore a screening outline, not a validated trading system.

Key ideas

• The screen combines a price-range threshold, a recent large daily gain, and upward moving average alignment.
• The proposed refinement uses 5-, 10-, 20-, and 60-session moving averages.
• The author recommends adding fundamental checks and other valuation or technical measures.
• The document gives no backtest evidence and leaves some filter definitions incomplete.

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