A-Share Screen Combining Morning-Star Candles, Amplitude, and Turnover

Summary

This document presents an A-share selection rule combining price amplitude above 1%, a candlestick condition described as a morning-star pattern, and turnover between 2% and 9%. It frames the candle pattern and amplitude as technical signals and turnover as a measure of market activity. The examples include a formula and Python-style logic for identifying candidates, with moving-average checks also appearing in the code.

No backtest results or evidence of profitability are provided. The article cautions that the screen omits company fundamentals and industry conditions, that technical and activity measures can lag, and that a signal may appear after much of a price move has passed. Its written description and sample implementation do not align perfectly: the code adds conditions beyond the stated screen, and the morning-star identification is not clearly reconciled with the named pattern. Treat the rules as an illustrative screening concept and verify the definitions and data handling before use.

Key ideas

• The stated screen combines amplitude above 1%, a morning-star condition, and turnover between 2% and 9%.
• The article presents the candle pattern as a technical signal and turnover as a measure of trading activity.
• Its sample implementation also uses moving-average conditions that are not all part of the stated rule.
• The document reports no backtest or return evidence.
• Fundamentals, industry conditions, indicator lag, and pattern definitions are identified as limitations.

Tags

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