Stock Screening with Volatility, Institutional Participation, and MACD

Summary

This stock screen combines three conditions: amplitude above 1, institutional participation above 25% over 15 days, and a shortening MACD histogram on a 15-minute chart. The document interprets the amplitude filter as a way to find shares with wider price movement, institutional participation as a sign of investor attention, and a shortening negative histogram as a possible sign that selling pressure is easing. It also provides formula and Python examples, though the examples may not implement every stated condition consistently.

The article offers no backtest, performance figures, or evidence that the combination predicts profitable entries. It cautions that the screen omits company fundamentals and that technical signals can be affected by market conditions and trading volume. It suggests adding financial measures and other indicators, and accounting for the broad market and external risks. The MACD condition is described as a potential opportunity, not a reliable timing signal; the document itself acknowledges that it may fail to identify actual turning points.

Key ideas

• The screen combines amplitude above 1 with institutional participation above 25% over 15 days.
• It uses a 15-minute MACD histogram condition intended to identify easing selling pressure.
• The article presents formula and Python references but does not report backtest results.
• The stated approach omits company fundamentals and may give unreliable timing signals.
• The author suggests considering financial measures, additional indicators, market conditions, and position sizing.

Tags

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