Stock Screening with Weekly Moving Average Crossovers and Institutional Buying

Summary

This stock selection approach combines three filters: daily amplitude above 1, a weekly five-period moving average crossing above the ten-period average, and an increase in institutional holdings relative to float shares. The document presents the crossover and amplitude as technical filters and institutional ownership change as a signal that institutions may be accumulating shares. It also gives example formulas and a Python-style implementation, though the implementation's daily moving averages do not clearly match the stated weekly crossover rule.

The post provides no backtest, performance figures, or evidence that institutional accumulation predicts gains. It cautions that the source and interpretation of institutional buying data can be uncertain, and that high-amplitude stocks may carry elevated risk. It suggests combining the screen with other trend measures and information sources, while leaving the precise refinements to the user. The screening rules are therefore a hypothesis for further testing, not a validated trading strategy.

Key ideas

• The screen combines amplitude, a weekly moving average crossover, and rising institutional ownership.
• The stated moving average periods are five and ten weeks.
• The code example does not clearly implement the stated weekly crossover condition.
• Institutional holdings data may be uncertain, and large price swings can increase risk.
• The document offers no performance evidence for the selection rules.

Tags

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