A-Share Screening with RSI, Parent Profit Growth, and a Price Cap
Summary
The document describes an A-share stock screen combining a technical condition with fundamental growth and a low share-price ceiling. It selects stocks with a 14-period RSI below 65, year-over-year growth in net profit attributable to the parent company above 20% and no more than 100%, and a share price below 12 yuan. The accompanying examples also exclude suspended and specially treated stocks, and rank candidates by trading activity.
The rationale is to combine momentum or market-condition information with earnings growth while focusing on lower-priced shares. The article warns that a low price alone can admit companies with weak fundamentals or deteriorating performance. It suggests broadening the fundamental review with valuation measures and considering industry and company characteristics. No historical returns, benchmark comparison, or out-of-sample evidence is presented, so the screen is an idea for candidate selection rather than evidence of a profitable strategy. The sample code and database expressions also use different growth calculations, so implementation details should be checked before use.
Key ideas
- The screen combines RSI below 65 with parent-company net profit growth above 20% and at most 100%.
- It applies a share-price ceiling of 12 yuan and describes filtering out suspended and specially treated stocks.
- The article presents the method as a blend of technical and fundamental screening.
- Low-priced stocks may still have weak fundamentals or declining business performance.
- It recommends adding valuation and company or industry analysis, but provides no strategy performance evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.