Sharing a Simple Favorite Scan for Bull Markets

Lonetree

I trade swings generally and find I usually find opportunities with this very simple scan:
- I use basic parameters for each scan, then Add this scans criteria following the basics:
- Today's scan:
and [Close > Yesterday's Close] and [Close - Low >= High - Low * 0.80]

markd

Thanks for sharing. I checked this out and it's pretty good.

A caveat, though. If the longer term trend is down, such bars are often peaks, or near peaks. Also, in an up trend, if this bar is later in an up leg, it may be climactic.

Also, an alternative approach - flipping your idea on its head - if the trend is up, and strong, the reverse scan (a strong down day) is often a good entry on charts with a strong left to right upward bias (long term average is rising, prices stay above the long term average all the way across, up legs don't get fully retraced). Not so good on longer term range-y charts.

[group is sp500]

and [sma(251,close) > 40 days ago sma(251,close)] // up trend under way

and [sma(63,close) > sma(251,close)] // buyers keeping price above rising longer MA
and [sma(63,close) > 20 days ago sma(63,close)]

and [sma(5,close) < 3 days ago sma(5,close)] // some short term selling going on


and [close < 1 day ago close]
and [high - close >= high-low * .8] // sell off that may be climactic; sometimes a bar or two early.

You might make a list with this scan, and then run your scan against it to catch when buyers have returned.

Try it with a run date of February 5, 2024.