A Moving-Average and Rising-Low Screen for Chinese Equities

Summary

This stock-screening proposal combines a range condition, rising lows, and a long-term trend filter. It selects shares with amplitude above one, a rising bottom, and the prior close above the 250-day moving average. The suggested expanded version adds a 20-day average above the 250-day average, valuation limits, a five-year profitability condition, and exclusion of ST-designated stocks. It also describes exiting below the 30-day average or after a decline greater than eight percent.

The document explains the rationale as seeking volatile shares showing recovery and a longer-term uptrend, then offers formula and Python examples. It presents no backtest, performance data, or validation of the rules. It warns that technical filters can overlook company quality and valuation, and that a long-term average may misclassify shares in short-term declines or sideways markets. The code examples should be treated cautiously: the written logic and implementation details are not consistently aligned, and the proposed screen needs independent data and execution checks before evaluation.

Key ideas

• The initial screen combines amplitude above one, rising lows, and a close above the 250-day moving average.
• The expanded rules add a faster moving-average trend check, valuation and profitability filters, and exclusion of ST stocks.
• The suggested exit conditions use the 30-day moving average or a decline greater than eight percent.
• The document offers no performance evidence and notes that technical filters can miss fundamental risks.
• The formula and code examples require review because some implementation details do not clearly match the stated rules.

Tags

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