Stock Screening with Rising Lows, Daily Range, and Opening Gains

Summary

This post presents a stock selection rule using three price conditions: daily amplitude above 1, a rising price bottom, and a gain below 6% at 9:25. The rationale is to seek stocks with some movement, progressively higher lows, and a limited early advance. It provides formula and Python examples, though the examples use differing calculations for the range and bottom conditions, so implementation details are not fully consistent.

The author notes that the screen relies on a small set of indicators and that a single early-session price observation may overemphasize short-term behavior. Suggested extensions include fundamental measures such as valuation and earnings growth, additional technical indicators, and more carefully defined thresholds and time windows. These are proposals rather than evaluated improvements: the document reports no backtest, comparative evidence, or trading results. The rules are best understood as an initial filter requiring further analysis and risk assessment, not as a complete investment method.

Key ideas

• The screen combines daily amplitude, rising lows, and a cap on the 9:25 price gain.
• The post treats rising lows as a possible sign of a strengthening price base.
• It warns that a small set of technical conditions may miss fundamental and longer-term risks.
• The formula and Python examples do not define the conditions identically.
• Fundamental measures and additional technical indicators are proposed but not tested.

Tags

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