A-Share Screen Combining RSI, Profit Growth, and Consecutive Down Days

Summary

This post outlines an A-share screen that combines RSI below 65, parent-company net profit growth above 20% and no more than 100%, and three consecutive declining sessions. It presents the combination as a way to identify stocks with both technical weakness and positive reported profit growth, while suggesting the recent price pattern may indicate short-term downside potential.

The post warns that the screen can miss longer-term company and industry trends, policy conditions, and other relevant factors. Three down sessions may reflect a temporary pullback rather than a sustained decline. It suggests testing other valuation measures, adjusting thresholds, and considering industry and company context. No backtest or performance evidence is provided, and the included formula and code should be checked carefully before use because they may not implement every stated condition consistently.

Key ideas

• The screen combines an RSI ceiling with a bounded year-over-year net profit growth range.
• It also requires a sequence of declining sessions to capture recent price weakness.
• The author cautions that a short losing streak may be a temporary correction.
• The post provides no backtest evidence for the screen’s predictive value.
• The example implementations may not consistently match the described conditions.

Tags

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