A Chinese Stock Screen for High Amplitude and Rising Momentum

Summary

This Chinese-language post presents a stock selection screen combining three conditions: daily price amplitude above a threshold, closing price above its five-day moving average, and a rising midpoint-based state intended to mark the start or continuation of an advance. Its example logic calculates amplitude from the high, low, and previous close; compares the close with the five-day average; and identifies a positive shift in the high-low midpoint. The post includes sample implementations for a Chinese stock screening context.

The rationale is that volatility may create upside opportunities, while trading above the short moving average and a positive directional state may indicate strength. The author warns that high-amplitude stocks are risky and that an already overheated advance may lose momentum. Additional indicators such as KDJ, RSI, or MACD are suggested as possible filters. No backtest, return statistics, or execution rules are supplied, and the code examples are labeled as references requiring adaptation.

Key ideas

• The screen combines high price amplitude, a close above the five-day average, and a positive midpoint direction state.
• The amplitude condition is intended to identify volatile stocks where price opportunities may arise.
• The post warns that volatile stocks carry added risk and that an overheated rally may fade.
• Other indicators are suggested as supplementary filters, but no validation results are reported.

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