Stock Screening with Positive MACD, Positive P/E, and Limited Daily Moves

Summary

This document outlines a stock screen requiring MACD above zero, positive P/E, and a one-day return between -5% and 2.6%. It frames MACD as an indicator of upward trend, positive P/E as a basic financial-data filter, and the bounded daily move as a way to avoid unusually large gains or losses. The screen is accompanied by indicator formulas and sample Python-style selection and sorting logic.

The post offers no backtest or evidence about subsequent performance. It cautions that a small move may not capture a stock's trend and that financial data can be affected by market conditions. The suggested refinements are to add other technical indicators and further financial measures. The title describes the upper bound as 2%, while the body specifies 2.6%, so an implementation should follow a clarified threshold rather than assume the heading is exact.

Key ideas

• The proposed screen requires MACD above zero and positive P/E.
• It limits the daily return to a range from -5% to 2.6%.
• The document supplies example indicator definitions and sample filtering logic.
• The post provides no performance evidence and notes that the filters may not capture trend or financial conditions well.
• The heading and body differ on the upper return limit, which should be resolved before implementation.

Tags

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