Screening Stocks with Positive MACD, Rising Averages, and Positive Earnings

Summary

This post outlines an equity screen requiring MACD above zero, upward divergence among current moving averages, and a positive price-to-earnings ratio. The stated rationale is to combine a bullish technical condition with rising price trends and a basic profitability filter. It includes example indicator definitions and a separate query-style screening expression.

The post offers no historical performance results or evidence that the combination has predictive value. It acknowledges that positive earnings alone say little about valuation and that familiar MACD and moving-average rules may be insufficient. It recommends considering additional financial measures and technical indicators, but does not specify how to combine them or test the resulting model. The examples also vary in their interpretation of the moving-average condition, so the exact screen would need clarification before reproduction. The proposed conditions are best understood as an illustrative screen rather than a validated strategy.

Key ideas

• The screen combines MACD above zero, rising moving averages, and positive earnings as measured by PE.
• The technical filters are intended to identify positive momentum, while PE excludes loss-making companies.
• A positive PE does not establish that a stock is fairly valued.
• The post suggests adding other financial or technical measures but provides no tested combination.
• No performance evidence is reported, and the example expressions do not define the moving-average condition consistently.

Tags

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