Screening Stocks with Positive MACD, Company Type, and Price Range

Summary

This stock screen combines three filters: MACD above zero, an eligible company type, and a prior-session high–low range greater than one. The document presents the positive MACD reading as a sign of bullish direction and the range condition as a way to retain stocks with sufficient movement for trading. It also discusses adding valuation measures such as price-to-earnings and price-to-book ratios to assess company quality.

The article supplies a formula reference and a Python example that retrieves stock and price data, calculates MACD, and checks company classification and range. It reports no backtest or evidence that the filters improve returns. The risk discussion acknowledges that these indicators and company-type rules omit other company and market factors. The company-type criterion is not fully explained, and the code description and conditions may not align cleanly with the stated selection logic, so implementation details require validation before use.

Key ideas

• The proposed screen requires MACD above zero, a specified company type, and a prior-session trading range above one.
• MACD is used as a directional filter, while the range condition seeks stocks with price movement.
• The document suggests adding valuation measures to broaden fundamental screening.
• No performance results or historical validation are presented.
• The company classification and code details need clarification before implementation.

Tags

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