Screening Stocks with Positive MACD, Institutional Flow, and Popularity Ranking

Summary

This note outlines a daily, end-of-session stock screen that requires MACD to be above zero and an institutional-flow measure to be positive, then ranks qualifying stocks by popularity. It explains MACD as a short-term trend indicator and institutional flow as a proxy for capital direction. Formula descriptions and sample code illustrate calculating MACD and a volume-weighted opening movement measure, filtering candidates, and sorting the results by a heat or popularity field.

The document offers a screening recipe rather than evidence of profitability: it gives no backtest results, transaction assumptions, or portfolio rules. It identifies risks from false signals, lagging institutional-flow data, concentration, and omission of fundamentals and broad market conditions. Suggested refinements include adding technical and fundamental filters, considering macro context, and cross-checking indicators to reduce noise. The method therefore serves as an initial candidate-selection process, with its measures and implementation requiring validation.

Key ideas

• The screen selects stocks with MACD above zero and a positive institutional-flow measure.
• Qualifying stocks are ranked by a popularity field after the daily close.
• The examples describe calculating MACD and an opening-movement measure weighted by volume.
• The note warns that signals may lag or produce false positives and that the screen may create concentrated selections.
• No evidence of strategy performance or detailed trade and portfolio rules is provided.

Tags

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