Stock Screen Combining High Amplitude, Shortening MACD Bars, and a Prior Limit Down

Summary

This stock-selection recipe combines three conditions: amplitude above 1, a shortening negative MACD histogram on a 15-minute chart, and a prior-day 09:15 matching price described as limit-down. The author interprets high amplitude as a way to find volatile shares and a contracting negative histogram as a possible sign that price direction may change. The prior limit-down condition is presented as a way to identify potentially oversold stocks.

The article supplies indicator formula references and a Python-style example, but the definitions and implementation details are not fully consistent: the amplitude example filters turnover ratio, and the prior-day timestamp logic is unclear. No backtest or performance statistics are supplied. The stated risks include dependence on popular market themes and a strict condition that may produce few candidates. Suggested extensions include additional indicators and longer-term risk controls, but these are proposals rather than tested improvements.

Key ideas

• The screen requires amplitude above 1, a contracting negative MACD histogram on a 15-minute chart, and a prior-day 09:15 limit-down match price.
• The article treats the combination as a possible way to find volatile or oversold shares.
• Its formula and code examples have ambiguities, including how amplitude and the prior-day timestamp are measured.
• The strategy may generate few candidates and has no reported backtest results.
• The article suggests adding indicators and broader risk controls, without evidence that these changes improve performance.

Tags

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