Stock Screening with Weekly MACD, Daily Range, and Limit-Up Exclusion

Summary

The document outlines an equity screening rule combining a daily high-low range greater than one percent of the prior close, weekly MACD above zero, and exclusion of stocks that hit the daily upper price limit on the previous day. It presents these conditions as a way to find stocks with activity and positive trend direction while avoiding names that may be temporarily overheated. The post includes indicator formulas and sample screening logic, but does not report a backtest, performance statistics, or evidence that the rules identify persistent gains.

The author notes that the screen omits company fundamentals and that excluding prior-day limit-up stocks can miss further advances. Suggested refinements include adding indicators such as relative strength or moving-average signals, incorporating valuation measures, and adjusting the exclusion rule. The sample implementation is illustrative and its daily data checks do not clearly demonstrate the stated weekly MACD calculation, so the screening logic would need careful validation before use.

Key ideas

• The screen requires a daily high-low range above one percent of the prior close.
• It selects stocks with weekly MACD above zero and removes prior-day limit-up stocks.
• The post gives indicator formulas and sample logic but no backtest evidence.
• The rule omits fundamental information and may exclude stocks that continue rising.
• The sample implementation should be checked to ensure it matches the stated weekly indicator rule.

Tags

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