Stock Screening with Positive MACD and a Weekly Moving Average Crossover

Summary

The document describes a stock selection strategy that combines a positive MACD reading with a favorable company classification and a weekly five-period moving average crossing above the ten-period average. It presents the crossover as a way to focus on a medium-term trend and reduce sensitivity to short-term price swings. A sample formula also excludes specially designated stocks and ranks candidates by a volume-price measure, while the accompanying Python example shows calculations for MACD and weekly averages.

The post gives no backtest, performance figures, or evidence that the filters improve returns. It flags lag in weekly averages and warns that technical screening may miss important company fundamentals. Its examples also contain unrelated or inconsistent filters, so the stated selection rule is clearer than the implementation details. The post suggests adding valuation measures, but does not specify thresholds or a complete fundamental scoring method.

Key ideas

• The screen combines positive MACD with a weekly five-period average crossing above the ten-period average.
• The author presents weekly averages as a way to reduce the influence of short-term price moves.
• The post warns that weekly signals may respond slowly to changes in market direction.
• The document provides no performance test and gives inconsistent implementation details.

Tags

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