Stock Screening with Amplitude, Rounded Price Shape, and Moving Averages

Summary

This stock-selection idea combines three chart conditions: amplitude above a threshold, a rounded price shape defined through comparisons of recent high-low ranges, and a 20-day moving average above the 120-day moving average. The post presents the screen as a way to find stocks with moderate price movement and a favorable trend structure, and gives a corresponding formula for implementing the conditions.

The rationale is qualitative and no screened results, backtest, or performance measurements are provided. The post itself acknowledges that moving-average and price-shape filters omit fundamental quality and broader market context, and suggests adding measures such as profitability, leverage, trading volume, or price changes. Those additions are proposals rather than tested improvements, so the screen requires independent validation before use.

Key ideas

• The screen requires amplitude above a threshold and a rounded pattern based on price ranges.
• It also requires the 20-day moving average to exceed the 120-day average.
• The post provides a formula reference but no historical performance evidence.
• Fundamental measures and market conditions may be needed to refine the selection.

Tags

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