LongHaulFilter

Description

The Long Haul Filter study is a thinkScript implementation of Donald Pendregast's stock criteria, adapted for usage in the Stock Hacker Scanning Tool. In Stock hacker, you can use it as a study filter in order to select a suitable stock for the Long Haul strategy.

The selection criteria are listed below (original values described by Mr. Pendergast are kept; however, everything is customizable via input parameters):

  • The Relative Strength Index (RSI) calculated for the stock is less than 5 (oversold level);
  • Its close price is greater than the average;
  • Its average volume is greater than 1,000,000;
  • Its Beta is greater than 1;
  • Its last actual earnings value is greater than estimated ("earnings surprises").

Input Parameters

Parameter Description
rsi length Defines the length for the calculation of the Relative Strength Index (RSI).

rsi average type

The type of moving average to be used in the calculation of the RSI: simple, exponential, weighted, Wilder's, or Hull.
rsi oversold level Defines the oversold level for the RSI.
average length Defines the length of the close price average.
average type

The type of moving average to be used in calculations: simple, exponential, weighted, Wilder's, or Hull.

volume limit Defines the minimum value of average volume.
check earnings surprises Defines whether or not to check for "earnings surprises" (last actual earning value is greater than estimated).
beta limit Defines the minimum value of stock's Beta.

Plots

Plot Description
LongHaulScreen A boolean plot that has a value of 1 (true) for symbols that satisfy the filter criteria.

Further Reading

1. "A Trading Method For The Long Haul" by Donald W. Pendergast Jr. Technical Analysis of Stocks & Commodities, 2014, Bonus Issue.

Example*

*For illustrative purposes only. Not a recommendation of a specific security or investment strategy.

You may also like
Condition Wizard
Condition Wizard is a special feature which allows you to build up conditions or logical ...
ADXBreakoutsFilter
The ADXBreakoutsFilter is part of a trading system developed by Ken Calhoun. Being the first ...