First, a quick clarification
No screen can guarantee which penny stock will be “best for tomorrow.” Short‑term price moves are inherently uncertain. What these filters do is narrow the list to U.S. penny stocks that:
- Fit a common definition of “penny stock”
- Trade on major U.S. exchanges (not OTC)
- Are in a short‑term uptrend
- Have a higher modeled probability of rising tomorrow
Screening Filters
price: min 0.1, max 5
- Purpose: Capture U.S. penny stocks.
- Rationale:
- Penny stocks are usually defined as low‑priced shares, often under $5 in the U.S.
- A minimum of $0.10 helps avoid ultra‑illiquid “trip-zero” names that trade at fractions of a cent and can be extremely risky and hard to trade.
- A maximum of $5 aligns with the typical regulatory and market convention for penny stocks, matching your request.
market_cap: min 50,000,000 (≥ $50M)
- Purpose: Exclude the smallest, riskiest microcaps while staying in the “penny stock” universe.
- Rationale:
- Many penny stocks have tiny market caps (e.g., under $20M) and can be dominated by low volume, manipulation, and huge bid–ask spreads.
- A floor of $50M keeps the focus on somewhat more established companies, improving:
- Liquidity (easier to get in and out)
- Data reliability
- Reduced chance of extreme “shell company” risk
- This still leaves you in the speculative, small‑cap space, but filters out the worst of the micro‑microcaps.
moving_average_relationship: PriceAboveMA20
- Purpose: Select stocks in a short‑term uptrend.
- Rationale:
- Price above the 20‑day moving average (MA20) is a classic technical signal that the stock is in a recent upward trend.
- For a “best for tomorrow” idea, traders often prefer:
- Stocks already showing momentum
- Names not stuck in clear downtrends
- This doesn’t guarantee gains, but it biases the screen toward stocks where buyers have recently been in control.
list_exchange: XNYS, XNAS, XASE (NYSE, NASDAQ, NYSE American)
- Purpose: Limit results to U.S. penny stocks on major exchanges.
- Rationale:
- Your question is about the US stock market, and these three codes cover the primary U.S. listed exchanges:
- XNYS – NYSE
- XNAS – NASDAQ
- XASE – NYSE American (formerly AMEX)
- This excludes OTC/pink sheet stocks, which:
- Are often less regulated
- Can have extremely poor liquidity
- Are more prone to pump‑and‑dump behavior
- Keeping to major exchanges gives tighter spreads, more reliable data, and generally higher transparency.
one_day_rise_prob: min 60 (≥ 60% probability of rising)
- Purpose: Focus on stocks with a statistically higher chance of going up tomorrow.
- Rationale:
- This uses a model‑based probability estimate that the stock’s price will be higher the next trading day.
- Setting a minimum of 60% means:
- We’re only including names where the model thinks there’s a better‑than‑coin‑flip chance of a positive day.
- This directly addresses your “for tomorrow” wording in a probabilistic (not guaranteed) way.
one_day_predict_return: min 0 (expected return ≥ 0%)
- Purpose: Remove stocks with a negative or zero expected return for tomorrow.
- Rationale:
- Beyond probability of rising, the model also estimates how much the stock might move.
- Requiring non‑negative predicted return ensures:
- We exclude candidates where the model expects a decline or flat performance, even if the probability of a rise is moderate.
- This keeps the list focused on names where the expected short‑term payoff is positive.
Why the Results Match Your Request
- Penny stocks: The price range (0.1–5) targets typical U.S. penny stock levels.
- U.S. listed: The exchange filter (XNYS, XNAS, XASE) ties results strictly to the main U.S. stock markets you care about, avoiding OTC.
- Speculative but not extreme: The market cap ≥ $50M keeps exposure to high‑risk, small‑cap stocks while avoiding the most extreme microcaps and illiquid shells.
- Positioned for a short‑term move:
- PriceAboveMA20 focuses on stocks already in an uptrend.
- one_day_rise_prob ≥ 60 and one_day_predict_return ≥ 0 use predictive metrics to favor names with a higher probability and expected value of rising tomorrow.
These filters don’t promise the “best” penny stock with certainty, but they systematically narrow the universe to U.S. penny stocks that are relatively more liquid, in a short‑term uptrend, and statistically more likely to have a positive day tomorrow.
This list is generated based on data from one or more third party data providers. It is provided for informational purposes only by Intellectia.AI, and is not investment advice or a recommendation. Intellectia does not make any warranty or guarantee relating to the accuracy, timeliness or completeness of any third-party information, and the provision of this information does not constitute a recommendation.