US stoks, ETF

Screening Filters

1. Price min $5

   • Purpose: Exclude very low-priced securities.
   • Rationale: For day trading, stocks above $5 are generally preferred because they tend to have better liquidity, cleaner price action, and are less likely to be ultra-speculative penny stocks with wide spreads and erratic moves.

2. Monthly average dollar volume min $1,000,000

   • Purpose: Ensure sufficient trading liquidity.
   • Rationale: Day traders need stocks and ETFs that can be entered and exited quickly without excessive slippage. A high average dollar volume helps confirm there is enough participation and tighter bid-ask spreads.

3. Relative volume min 1.5

   • Purpose: Find securities trading with above-normal activity.
   • Rationale: Relative volume above 1.5 suggests the stock is trading at least 50% more actively than usual. That often signals unusual interest, news, or momentum — all of which can create the intraday movement day traders look for.

4. Moving average relationship: PriceAboveMA5, PriceAboveMA20

   • Purpose: Identify short-term bullish trend strength.
   • Rationale: If price is above both the 5-day and 20-day moving averages, it suggests the stock is holding short-term momentum and not already weakening. This helps day traders focus on names that are more likely to continue trending intraday.

5. Region: US

   • Purpose: Limit results to US-listed stocks and ETFs.
   • Rationale: This matches the user’s request for US stocks and ETFs and keeps the universe aligned with US market hours, familiar trading rules, and generally better accessibility for most traders.

Why Results Match:

• The screen focuses on liquid, actively traded US securities, which is essential for day trading.
• It favors names with strong current activity and short-term momentum, both of which are useful for intraday setups.
• By filtering out illiquid, low-priced, or inactive names, it improves the odds of finding stocks and ETFs that are more suitable for fast entries, exits, and tighter spreads.
• Overall, these filters are well-suited to finding day trading candidates rather than long-term investments.