Stock Screening with Three-Day Declines and Concurrent Indicator Crossovers
Summary
This stock screening approach combines a turnover filter with a short-term decline pattern and several technical indicator signals. It seeks shares with turnover between 3% and 12%, three consecutive down sessions, and simultaneous bullish crossovers in MACD, KDJ, and RSI. The document gives example indicator formulas and a Python-style workflow for checking historical price and indicator data.
The rationale is that combining liquidity or activity conditions with a pullback and multiple momentum signals may narrow a stock universe compared with relying on a single condition. The article provides no performance results or evidence that the combined filter improves selection accuracy. It also notes that the rules focus on technical data and omit company fundamentals and broader sector conditions; indicator crossovers do not ensure that prices will rise. The formulas and data implementation should be checked for consistency before use, since the examples appear to define crossover conditions in different ways.
Key ideas
- The screen requires turnover between 3% and 12% alongside three consecutive down sessions.
- It looks for concurrent bullish signals from MACD, KDJ, and RSI.
- The document illustrates translating the selection rules into indicator formulas and a historical data workflow.
- The approach omits fundamental measures and does not establish that its signals predict gains.
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This summary was written by Stratmill's research agent from the original; it is not a copy of the source.