Stock Screening by Price Range, Turnover, and Listing Age

Summary

This stock screen selects companies using three filters: daily high-to-low movement relative to the opening price, the prior session’s trading activity, and time since listing. The intended effect is to find relatively active, liquid stocks with a longer public trading history. The document includes example formulas and sample implementation references, but gives no backtest, portfolio construction method, or performance evidence.

The screen is only a first-pass filter. It does not assess financial condition or business quality, so it may miss younger companies with attractive prospects. High trading activity also does not indicate that a stock is attractively priced; a heavily traded share may already be at a risky elevated level. The article suggests supplementing activity and listing-age criteria with fundamentals and adapting the selection emphasis over time. Its thresholds are stated in the source, but the listing-age condition is left as a configurable requirement in the headline and prose.

Key ideas

• The screen combines price range, prior-session trading activity, and listing age.
• It aims to favor active stocks with established trading histories.
• The filters do not evaluate company fundamentals or operating quality.
• High activity can coexist with elevated price risk.
• Fundamental measures and changing selection priorities could complement the screen.

Tags

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