Stock Screening with MACD, Daily Range, and 10-Day Returns

Summary

This stock screen combines three technical filters: a daily high-to-low range threshold, MACD moving above zero, and a positive return over the prior ten days that remains below 35%. The document interprets the range condition as a volatility filter, MACD above zero as a bullish signal, and the return band as a way to select stocks that have risen without exceeding the chosen cap.

It provides screening formulas and a Python example, but no historical test, performance figures, or evidence that the criteria predict future returns. The code is presented as a reference and does not establish a complete or validated implementation. The document itself notes that the screen may exclude stocks whose gains exceed its limit and that it omits trading volume and risk controls. It suggests considering additional factors such as financial data, trading volume, and market capitalization; these additions are proposals rather than tested improvements.

Key ideas

• The screen requires a daily high-to-low range above its stated threshold and MACD above zero.
• It selects stocks with positive returns over ten days that remain below the specified upper bound.
• The document offers formulas and sample code but reports no backtest or performance evidence.
• It warns that the return cap can exclude stocks and that the screen lacks volume filters and risk management.

Tags

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