Should I Buy

Screening Filters

1. Region = US

   • Purpose: Limit the search to U.S.-listed stocks.
   • Rationale: This filter makes the screener relevant for U.S. market names only. If the user is asking “Should I buy 01448?”, the first step is to make sure the stock being evaluated is in the intended market universe. Since the filters are set to US, the screener is targeting U.S. equities rather than non-U.S. listings.

2. Price > 20-day EMA

   • Purpose: Identify stocks trading above their short-term trend.
   • Rationale: A stock above its 20-day exponential moving average is often showing near-term strength or positive momentum. This is useful when assessing whether a stock is in an acceptable short-term uptrend rather than weakening or drifting lower.

3. Price > 200-day EMA

   • Purpose: Identify stocks trading above their long-term trend.
   • Rationale: A stock above its 200-day exponential moving average is generally considered to be in a healthier long-term uptrend. This filter helps avoid names that may look cheap but are still in a broader downtrend.

4. Volume > Monthly Average Dollar Volume

   • Purpose: Focus on stocks trading with above-normal liquidity and activity.
   • Rationale: Higher-than-average dollar volume suggests stronger trading interest and easier execution. For a buy decision, this can help surface stocks with better liquidity and confirmation of investor attention, which may reduce the risk of thinly traded, hard-to-enter positions.

5. User Watchlist = False

   • Purpose: Exclude stocks already in the user’s watchlist.
   • Rationale: This keeps the results focused on new candidates rather than names the user is already tracking. It helps broaden the search when looking for a fresh answer to “Should I buy 01448?”

Why Results Match:

• The filters are designed to find stocks that are in a healthy technical position: above both short-term and long-term trend lines.
• They also require strong trading activity, which can improve confidence in the move and make the stock easier to trade.
• Using the US region ensures the screen stays within the appropriate market universe.
• Excluding the watchlist helps surface new ideas relevant to the user’s buy decision.

Overall, these filters are appropriate for a “Should I buy?” question because they screen for stocks with uptrend confirmation, liquidity, and market relevance—all useful starting points before making an investment decision.