A Chinese Stock Screen Using RSI, Market Capitalization, and Limit-Ups

Summary

This post describes a China A-share screening idea that combines RSI below 65, tradable market capitalization between 5 and 10 billion yuan, and at least two limit-up sessions within 500 days. It later adds a condition that the stock’s gain should not exceed 20 percent. The rationale offered is that RSI filters for comparatively steady recent price behavior, the capitalization range represents a liquidity preference, and prior limit-ups may signal price strength or market attention. The post also suggests considering fundamentals, industry exposure, turnover, and gain size when refining the screen.

It includes an RSI formula and sample Python-style logic, but the code’s rolling count and gain filters do not clearly implement the stated limit-up conditions. The document gives no backtest, performance figures, or validation of its selection logic. It explicitly flags the narrow factor set, potential overvaluation, and dependence on accurate, current data, so the screen should be treated as an unvalidated selection proposal rather than evidence of an effective strategy.

Key ideas

• The proposed screen combines RSI below 65, a specified market-capitalization band, and repeated limit-up sessions over a historical window.
• The post suggests that RSI represents recent price behavior, while capitalization and limit-ups serve as liquidity and price-strength filters.
• It recommends adding fundamental, industry, turnover, or gain-related criteria to refine the screen.
• The sample logic may not match the stated limit-up conditions, and the document supplies no performance validation.
• The author identifies narrow criteria, possible overvaluation, and data quality as risks.

Tags

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