A-Share Screening with Low RSI, Seven Losing Sessions, and Turnover

Summary

This A-share screen combines RSI below 65, seven consecutive sessions with closes below opens, and previous-day actual turnover between 3% and 28%. The article explains turnover as a measure of trading activity and capital flow, using the band to avoid both subdued and unusually intense trading. It also offers indicator formulas and sample implementation details, though these examples do not establish a tested trading system.

The author cautions that the rules rely mainly on technical signals and may miss company fundamentals, industry conditions, policy shifts, or adverse news. Suggested refinements include adding indicators such as MACD and RSI change, as well as earnings and profitability measures. The final description therefore adds multiple fundamental indicators, but it does not specify their thresholds or provide performance evidence. The screen is a candidate-generation method; its rationale and implementation would need independent validation.

Key ideas

• The screen requires RSI below 65 and seven consecutive sessions where the close is below the open.
• It filters for previous-day actual turnover between 3% and 28% as a proxy for market activity.
• The article warns that technical signals alone can omit fundamental, industry, and policy risks.
• It suggests combining technical conditions with earnings and profitability indicators, without specifying a validated formula.

Tags

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