Stock Screen Combining Moving-Average Convergence, Recent Returns, and Limit-Ups

Summary

The article proposes screening stocks for convergence among five moving averages, a positive but capped ten-day gain, and at least two limit-up moves within a 500-day lookback. Its final description uses a price-to-average difference threshold of 0.1 and states return and historical-move thresholds, while the preceding explanation describes the conditions more generally. It presents the combination as a way to identify stocks with aligned averages and signs of recent or historical strength.

The article provides no backtest, sample results, or evidence that the filters improve returns. It notes that moving-average periods and thresholds affect outcomes, and suggests adding factors such as company size or valuation. The included code is incomplete and internally inconsistent: it references moving averages that are not defined, uses a different gain expression from the prose, and does not show a complete screening procedure. The exact conditions and implementation therefore need clarification before the screen can be reproduced reliably.

Key ideas

• The proposed screen combines five converging moving averages with recent gains and historical limit-up activity.
• The final description specifies a 0.1 price-to-average difference threshold and a ten-day gain above zero but below 0.35%.
• The article states a condition of at least two limit-up moves within 500 days, but its explanation and code do not define the calculation consistently.
• The article gives no performance evidence and says threshold choices can affect results.
• The code is incomplete and contains undefined moving-average references, limiting reproducibility.

Tags

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