Screening Stocks with Turnover, Three Down Days, and a Weekly MA Crossover

Summary

This stock-screening idea combines three conditions: turnover between 3% and 12%, three consecutive daily bearish candles, and a weekly moving average crossover in which the five-week average rises above the ten-week average. The stated logic uses the turnover band to constrain trading activity, the down days to identify a recent pullback, and the weekly crossover as a trend filter. The post also includes example references for expressing the selection in a formula and a Python workflow that queries weekly stock data.

The document cautions that the screen omits other market and company influences, including industry trends and policy conditions, and suggests considering valuation, earnings, and sentiment. It provides no backtest results, entry or exit rules, position sizing, or evidence that the combined conditions are profitable. The sample Python excerpt appears to check simplified conditions and does not fully demonstrate the stated three-day candle and turnover tests, so it should not be treated as a validated implementation.

Key ideas

• The screen selects stocks with turnover in the stated 3%–12% band.
• It requires three consecutive daily down candles and a weekly five-period average crossing above the ten-period average.
• The post identifies industry, policy, valuation, earnings, and sentiment as factors the screen leaves out.
• No performance evidence or complete trading rules are supplied.

Tags

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