A-Share Screen Combining RSI, Earnings Growth, and Sector Exclusions

Summary

This Chinese A-share screening proposal selects stocks with RSI below 65, year-over-year growth in parent-company net profit above 20% and up to 100%, and businesses outside finance, real estate, and insurance. The author frames the RSI condition as a way to find stocks with potential upside while the earnings filter seeks companies showing substantial growth. The document also includes example screening logic and suggests adding valuation measures such as price-to-earnings or price-to-book ratios.

The screen is a set of selection conditions, not a tested strategy: no backtest results or investment returns are reported. Its sector exclusions could omit attractive companies, and relying on a narrow set of indicators may miss other strong businesses. There are also implementation details to verify: the examples use different data and filtering methods, and the Python snippet’s industry-membership logic may not faithfully implement the stated exclusions. Users would need to confirm financial reporting periods, RSI calculation, sector classifications, and data quality before evaluating the rules.

Key ideas

• The screen requires RSI below 65 and parent-company net profit growth above 20% and no higher than 100%.
• It excludes finance, real estate, and insurance businesses.
• The author suggests adding valuation measures to broaden fundamental analysis.
• Sector exclusions and limited fundamentals can cause the screen to miss suitable companies.
• The examples require implementation checks, and no performance results are reported.

Tags

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