A MACD, Company-Quality, and Liquidity Screen for Chinese Stocks

Summary

The post presents a Chinese equity screening rule combining a positive MACD reading, filters intended to exclude financially troubled or specially treated companies, and a minimum prior-day trading activity threshold. Its rationale is to pair a technical trend condition with a basic company-quality screen and a liquidity check. The described implementation selects a limited set of candidates, while the accompanying discussion suggests adding valuation and growth measures for a fuller fundamental view.

The post gives screening logic and illustrative platform-specific code, but it provides no backtest results or evidence that the rules are profitable. It also flags that technical signals and recent turnover do not reveal a company’s full financial condition, industry exposure, or governance risks. The stated trading-activity threshold is described inconsistently in the post’s prose and code, so the exact intended cutoff should be verified before reproducing the screen. A screen alone also does not specify portfolio weighting, entry and exit rules, or risk controls.

Key ideas

• The screen combines a positive MACD condition with company-status and liquidity filters.
• Recent trading activity is used as a proxy for liquidity, not as proof of business quality.
• The post proposes adding valuation and financial-growth measures to broaden the fundamental assessment.
• The selection rules are not accompanied by performance evidence or a complete portfolio and risk-management plan.

Tags

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