Screening Stocks with Weekly MA Crossovers and a Price Cap

Summary

This stock screen combines three conditions: daily amplitude above a stated threshold, a weekly five-period moving average crossing above the ten-period average, and a share price below a stated cap. The article presents the price limit as a way to focus on lower-priced shares and suggests that the combination may help identify candidates with favorable price action. Its accompanying example computes amplitude relative to the previous close and calculates moving averages from closing prices.

The page offers no backtest, benchmark comparison, or evidence that the screen produces superior returns. It cautions that price can be affected by sudden events and recommends considering fundamentals and industry context. It also suggests adding indicators such as RSI or MACD, but does not test those additions. The criteria are therefore best understood as a screening recipe, not a validated trading strategy; the price ceiling and technical thresholds may require adjustment for the market and investment objective.

Key ideas

• The screen requires amplitude above a threshold, a weekly five-period average crossing above the ten-period average, and price below a cap.
• The example calculates amplitude against the prior close and moving averages from closing prices.
• The article supplies no performance test or comparison with a benchmark.
• It advises considering company fundamentals and industry context alongside the screen.

Tags

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