A-Share Screening with RSI, Order-Flow Balance, and Daily Gains

Summary

This document describes an A-share screen combining an RSI below 65 with an outer-market to inner-market volume ratio above 1.3 and a positive daily gain. Its stated selection logic is short-term and technical: RSI limits the degree of momentum, while the volume ratio is intended to indicate stronger buying interest. The article also includes example indicator and data-processing implementations, though their details do not always match the stated screening criteria.

The accompanying discussion warns that the screen emphasizes technical conditions and short-term sentiment, so selected stocks may reverse quickly or move for reasons unrelated to company fundamentals. It suggests adjusting thresholds as market conditions change, considering industry and company fundamentals, and excluding stocks affected by abnormal market moves. No backtest results or evidence of predictive performance are provided, so the proposed conditions should be treated as a screening recipe rather than a validated strategy.

Key ideas

• The stated screen requires RSI below 65, an outer-to-inner volume ratio above 1.3, and a positive daily gain.
• The approach uses technical and trading-activity filters to identify stocks with buying pressure.
• The article warns that short-term sentiment signals can reverse and may be affected by broader market or policy events.
• It provides implementation examples, but some example conditions differ from the headline selection logic.
• The document reports no performance tests establishing that the screen predicts returns.

Tags

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