A Stock Screen Using Limit-Ups, Moving-Average Convergence, and Amplitude

Summary

This Chinese stock-screening example combines elevated price amplitude, at least five overlapping moving averages, and multiple limit-up sessions within a recent window. Its stated aim is to identify stocks with strong short-term activity and concentrated price levels. The proposed refinements add an RSI threshold and a price-to-earnings ceiling; the sample code also shows filters for listing age, company size, moving-average direction, and trading volume.

The post warns that dependence on limit-up activity and short-term technical conditions can exclude slower-moving or temporarily weak stocks, and that strict filters may leave few candidates. It offers no performance results or backtest. The illustrative code contains apparent inconsistencies: it checks only four moving averages while requiring five to overlap, and its limit-up count is not clearly restricted to the stated recent window. These rules need correction and validation. The post defines a candidate screen, not a complete strategy with trade management or risk controls.

Key ideas

• The screen combines price amplitude, moving-average overlap, and repeated limit-up sessions.
• Suggested additions include RSI and a valuation filter.
• The post cautions that short-term heat filters can miss slower or temporarily declining stocks.
• The code's moving-average count and lookback for limit-up sessions do not clearly match the stated rules.
• No backtest or complete entry, exit, and risk framework is provided.

Tags

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