A Chinese Equity Screen Using Turnover, Three Declining Sessions, and Weekly Strength

Summary

This document describes a Chinese equity screening idea that combines a turnover range of 3% to 12%, three consecutive declining sessions, and a strong weekly price move. Its stated intent is to find stocks that have recently pulled back while retaining a positive weekly signal. It includes example screening logic and a Python example that attempts to check the conditions against historical daily data.

The description offers no backtest, benchmark comparison, or evidence that the screen improves returns. The term “large red bar” is not precisely defined, and the sample implementations do not appear fully consistent: the turnover condition is represented differently in the Python example, and the weekly calculation depends on selecting Friday observations. The text itself notes that relying on one weekly technical signal may omit other relevant factors and suggests adding measures such as weekly volume growth, RSI, or MACD. The screen should therefore be treated as a hypothesis requiring careful validation.

Key ideas

• The proposed screen combines turnover between 3% and 12%, three declining sessions, and weekly strength.
• The article provides example logic for implementing the screen with stock data.
• The meaning of a strong weekly bar is not fully specified, and the examples may operationalize conditions differently.
• No performance evidence is provided, and the article cautions that other technical and industry factors may matter.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.