Stock Screening with Triple Moving-Average Alignment and Three Down Days

Summary

This stock-screening proposal looks for shares with an amplitude measure above 1, three technical indicators said to have bullish crosses, and three consecutive declining closes. Its sample Python logic approximates the multiple-cross condition with the 5-, 10-, and 20-period moving averages ordered from shortest to longest, and combines that with the amplitude and three-day price conditions. It suggests selecting a limited number of qualifying stocks after considering market and company fundamentals.

The post gives no backtest or outcome data. It warns that the screen omits company fundamentals and that results may fluctuate because it emphasizes recent price action. There is also a mismatch between the prose claim of simultaneous golden crosses and the sample code’s moving-average ordering, which does not by itself establish that three crosses occurred at the same time. The description of three declining closes also does not fully specify whether each day must be a down candle or merely close below the prior day.

Key ideas

• The proposed screen combines an amplitude threshold, a multiple-indicator bullish signal, and three declining daily closes.
• The code uses the ordering of 5-, 10-, and 20-period moving averages as a proxy for simultaneous crosses.
• The screen focuses on recent technical behavior and does not include fundamental criteria.
• The post reports no performance evidence and notes that recent-price filters can produce unstable selections.
• The written rules and sample code leave the exact cross and declining-candle definitions unclear.

Tags

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