Based on one of the setups used by Swedish swing trader Kristjan Kullamägi, this continuation breakout screen looks for stocks that have risen sharply over a relatively short period, followed by an orderly pullback and consolation.
In this video, I want to take a closer look at two specific swing trading momentum screens available in the ChartMill Stock Screener.
To ensure liquidity
Minimum Price Performance in one month
Only US stocks
Decent Average Daily Range
Stocks with strong momentum tend to test the ascending SMA(10) during the pullback phase
Avoiding penny stocks
Volume has to be lower during consollidation phase
Daily bars
Run this screen in your favorite region. You can always further fine tune the screen by changing the general settings after it opened in the screener.