I am not sure if you are looking for day trading or swing trading ...
As I am into swing trading My filtering has similar criteria but few added ones.
1) High Beta
In other words not boring Stock. However I have doubt now if this is a good filtering technique.
2) Smooth Curves (What you call here symmetric move)
The problem with this is this is not a defined metric. To me it is the most important criteria but very subjective one.
3) Avg Impact cost
This is a measure of Liquidity. In F&O if you don't have liquidity I can't do business with you no matter how lucrative.
4)No or Less Gap up or Gap Downs
Less frequent gap ups or Gap downs.
Small gap ups and gap downs are ok. Worried about the massive ones.
There is no way to guarantee this one if it happens once in a blue moon ok but not frequent.
What I have observed is 1 and 2 contradict High beta stocks might have more noise. I think Balanced Beta stocks is what we need.
I also look for historical volatility but sometimes the volatility high means could be good volatility and bad volatility. Not able to figure if we can find the perfect one.
Also regard less the stocks go through change like moody person every few months, very nice movement and then some choppy phase
the properties does not stick so you need to continue scanning
As I am into swing trading My filtering has similar criteria but few added ones.
1) High Beta
In other words not boring Stock. However I have doubt now if this is a good filtering technique.
2) Smooth Curves (What you call here symmetric move)
The problem with this is this is not a defined metric. To me it is the most important criteria but very subjective one.
3) Avg Impact cost
This is a measure of Liquidity. In F&O if you don't have liquidity I can't do business with you no matter how lucrative.
4)No or Less Gap up or Gap Downs
Less frequent gap ups or Gap downs.
Small gap ups and gap downs are ok. Worried about the massive ones.
There is no way to guarantee this one if it happens once in a blue moon ok but not frequent.
What I have observed is 1 and 2 contradict High beta stocks might have more noise. I think Balanced Beta stocks is what we need.
I also look for historical volatility but sometimes the volatility high means could be good volatility and bad volatility. Not able to figure if we can find the perfect one.
Also regard less the stocks go through change like moody person every few months, very nice movement and then some choppy phase
the properties does not stick so you need to continue scanning
