A-Share Screen Using RSI, Order Flow, and Bollinger Band Position

Summary

This A-share screening rule looks for stocks with RSI below 65, an outside-volume to inside-volume ratio above 1.3, and a close positioned between the Bollinger middle band and upper band. The combination is intended to select stocks with moderate momentum, buying-side trading activity, and a price within the upper portion of its recent band. The document includes formula and Python examples for applying the criteria.

The article offers no backtest, sample results, or evidence that the filters generate profitable trades. It warns that the approach omits fundamental information, can be vulnerable to overfitting, and may provide little defense during a market decline. It suggests adding fundamental and further price-volume factors, but does not specify how to combine them or validate the resulting rules. The screening thresholds therefore describe a candidate-selection heuristic rather than a complete trading system with entry timing, exits, or risk management.

Key ideas

• The screen requires RSI below 65 and an outside-to-inside volume ratio above 1.3.
• It selects closes between the Bollinger middle and upper bands.
• The combined filters are presented as a short-term technical selection heuristic.
• The article reports no performance evidence and identifies fundamental omissions and overfitting as risks.

Tags

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