A-Share Screen for Positive MACD, Rising DEA, and Past Limit-Ups

Summary

This A-share stock selection approach looks for MACD above zero, a rising DEA line, and at least two limit-up events during the previous 500 days. It treats positive MACD and an improving signal line as evidence of strength, while repeated limit-ups identify stocks that have recently attracted strong buying interest. The article includes indicator definitions and an example implementation that also describes a concentrated portfolio routine and a loss-triggered exit.

The author cautions that repeated limit-ups may precede a pullback, that a long lookback can miss newer strength without limit-ups, and that historical price action may lose relevance after market conditions change. Suggested refinements include adding other technical or fundamental measures, considering circulating market capitalization and profitability, and accounting for the broader economic environment. The article offers no backtest or outcome data. Its prose calls for a rising DEA, while the example filter compares MACD and DEA values; these are distinct conditions, so the implementation should be checked against the intended rule before evaluation.

Key ideas

• The proposed screen combines MACD above zero, rising DEA, and at least two limit-up events over 500 days.
• The indicators are intended to capture positive trend conditions and prior buying intensity.
• Past limit-ups can be followed by reversals, while a long lookback can overlook more recent strength.
• The article suggests adding company fundamentals, market capitalization, and broad market context.
• The sample filter may not implement a rising DEA condition as described, and the article provides no performance results.

Tags

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