Stock Screen Using Daily Range, Weekly MACD, and a Stock-Heat Ranking

Summary

This article proposes screening stocks for a daily price range above 1%, a weekly MACD condition above zero, and ranking by individual-stock “heat.” It includes a formula reference for the range and MACD conditions, plus a Python sketch that attempts to create a heat ranking from share-count fields and then filter stocks using price data. The intended approach combines a volatility-related price measure, trend momentum, and a ranking variable intended to represent attention.

The article acknowledges that stock heat is subjective and time-sensitive, and that using it may introduce look-ahead bias. Its examples do not validate the strategy: the proposed heat calculation is not explained as a measure of investor attention, and the Python sketch does not clearly implement the stated weekly MACD test. No backtest results or return evidence are provided. The screen is therefore a rough selection concept whose ranking definition, data timing, and indicator implementation would need careful review before evaluation.

Key ideas

• The proposed screen combines a daily range threshold with a weekly MACD condition.
• It ranks candidates by a stock-heat measure that the article attempts to derive from share-count data.
• The article warns that stock heat can be subjective, time-sensitive, and vulnerable to look-ahead bias.
• The provided examples do not establish performance, and the heat metric and MACD implementation are unclear.

Tags

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