A-Share Screen Using RSI, Order Flow, and a Price Ceiling

Summary

The document proposes a Chinese A-share stock screen combining a relative strength index below 65, a ratio of external to internal trading volume above 1.3, and a share price below 12. It presents the rules as a way to combine a technical condition, a measure related to trading pressure, and a low-price filter. It also includes example selection logic and code references for applying the screen to stock data.

The article cautions that these inputs may overlook company fundamentals, competitive position, and industry conditions. It suggests adding market and sector indicators, using a scoring model, and adjusting the price range to reflect market conditions. No backtest results, benchmark comparison, or evidence of predictive performance are reported. The selection criteria are therefore a screening proposal rather than a validated strategy, and the document’s code examples should be checked for whether their data fields and calculations match the stated rules before use.

Key ideas

• The proposed screen requires RSI below 65, external-to-internal volume above 1.3, and price below 12.
• The rules combine a technical indicator, an order-flow measure, and a price filter.
• The article warns that the screen may omit fundamentals and industry context.
• It proposes adding market and sector inputs or scoring the criteria together.
• No backtest or predictive-performance evidence is provided.

Tags

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