A Stock Screen Combining Turnover, Reversal Candles, and Auction Net Buying

Summary

This article describes a main-board stock screen that combines a daily turnover range of 3% to 12%, a reversal-style candle condition called a wraparound pattern, and positive net buying attributed to major participants during the opening auction. The author presents the buying condition as a way to exclude stocks with heavier selling pressure. The screen is framed as a technical and trading-data filter rather than a full investment process.

The article provides example formula and Python-style implementation references, including a candle range calculation and data fields for turnover and auction buying. However, the code shown mixes stock screening with futures-related data and does not clearly establish that each step implements the stated criteria correctly. No performance results or validation are provided. The author notes that the approach ignores fundamentals and suggests adding technical and fundamental measures, such as valuation and return on equity, before treating selected stocks as candidates.

Key ideas

• The proposed screen selects main-board stocks with turnover between 3% and 12%.
• It combines turnover with a reversal-style candle condition and positive opening-auction net buying.
• The positive buying filter is intended to screen out shares facing strong selling pressure.
• The article supplies implementation examples but gives no backtest or evidence of profitability.
• The method omits fundamental analysis, which the author identifies as a limitation.

Tags

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