Stock Screening with Moving Average Trend, Turnover, and Relative Volume
Summary
The document describes a stock-selection screen that ranks shares by relative volume, keeps those with previous-day turnover above 8%, and requires the 20-day moving average to exceed the 120-day moving average. It interprets relative volume as a proxy for buying activity, high turnover as a sign of trading activity, and the moving-average relationship as evidence that the shorter-term trend is stronger than the longer-term trend.
The post recommends combining the technical screen with fundamental measures such as profitability and financial condition, and adjusting moving-average settings to market conditions. It supplies no backtest, return data, or evidence that the signals predict gains. The author notes that reliance on activity measures may omit fundamentals and that indicator choices affect results. The screen is therefore a proposed filtering recipe, not a validated strategy; the document also contains platform and template references rather than a complete implementation.
Key ideas
- Rank candidate stocks by relative volume from highest to lowest.
- Require previous-day turnover to exceed 8%.
- Select stocks whose 20-day moving average is above their 120-day moving average.
- The post interprets high activity and the moving-average relationship as potentially favorable signals.
- It recommends adding fundamental checks and adapting indicator settings, but reports no performance evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.