Weekly Moving Average and MACD Filters for Stock Selection

Summary

This stock screen combines three technical conditions: weekly price amplitude above one percent, the five week moving average above the ten week average after a bullish crossover, and MACD above zero. The accompanying example calculates amplitude from each week's high, low, and prior close, then applies rolling averages and an exponential moving average based MACD to weekly stock data. It excludes selected market segments before returning qualifying names.

The post frames amplitude as a way to find stocks with movement, while the moving average and MACD conditions are intended to favor established upward trends and relative strength. It provides formulas and illustrative code, but no backtest results or evidence that the screen is profitable. Its own discussion cautions that the rules rely heavily on historical technical patterns and omit fundamentals and capital flows; future predictive value and robustness are uncertain. It suggests adding company and funding information and adjusting filters to market conditions.

Key ideas

• The screen requires weekly amplitude above one percent, a bullish five week versus ten week moving average signal, and MACD above zero.
• The example applies the indicators to weekly stock data and filters out some listing segments.
• The post offers formulas and sample implementation but reports no performance evaluation.
• Technical-only screening may omit fundamentals and capital flows and may not generalize to future markets.

Tags

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