Screening Stocks with Range, Five-Day Average, and Rising MACD DEA

Summary

This stock-selection screen combines three conditions: daily high-low amplitude above a threshold, closing price above its five-day moving average, and a rising MACD DEA line. The article interprets the range filter as a way to find active stocks, the moving-average condition as a price-strength check, and the rising DEA as a sign of short-term upward momentum. It also gives example implementations for screening and calculating the signals.

The document supplies no backtest, performance results, or evidence that these conditions predict returns. Its examples differ in how the amplitude threshold is expressed, and the Python illustration combines data for a broad daily list with indicator calculations for one stock, so it may need adaptation before use. The author advises adding fundamental information and other indicators, and flags inflated prices and abnormal data as possible risks.

Key ideas

• The screen requires elevated price range, a close above the five-day average, and a rising MACD DEA.
• The article frames these filters as activity, price strength, and short-term momentum checks.
• The examples provide implementation ideas but contain threshold and data-alignment details that need review.
• No backtest or measured evidence is presented, and the author suggests adding broader analysis.

Tags

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