Screening Stocks for Positive Large-Order Flow and Moderate Recent Gains

Summary

This stock screen ranks candidates by volume ratio, filters for net large-order volume above a stated threshold for at least three consecutive days, and restricts the preceding ten-day price change to a positive range below a stated ceiling. The intended idea is to combine evidence of trading activity with recent upward movement, potentially highlighting stocks with buying interest while avoiding the strongest recent run-ups.

The accompanying discussion warns that the rules emphasize short-term performance and may overlook fundamentals or fail to predict market direction. It proposes adding financial-quality measures and technical indicators such as moving averages or MACD. These are suggestions rather than a tested extension: the document gives no backtest, benchmark, or performance statistics, and does not specify details such as execution timing or risk controls. The thresholds and flow measures therefore describe a screening hypothesis, not demonstrated predictive evidence.

Key ideas

• The screen ranks stocks by volume ratio and filters for sustained positive large-order net volume.
• It restricts the ten-day return to a positive range below a specified upper bound.
• The stated rationale combines trading-flow strength with recent price appreciation.
• The document cautions that short-term indicators may neglect fundamentals and can misread market direction.
• Suggested fundamental and technical filters are not accompanied by performance tests.

Tags

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