A Stock Screen Using Price Range, K-Line, and Relative Volume
Summary
This post presents a Chinese-equity screening rule combining daily price amplitude above 1%, a K-line indicator below 20, and relative volume greater than 1.5 but less than 6. It offers formula and Python-style examples for calculating amplitude from the prior close and relative volume from a 10-day volume average, then filtering and ranking selected stocks by percentage change. The intended idea is to combine price movement, a chart indicator, and unusual trading activity when identifying candidates.
The post cautions that amplitude and volume ratios can behave unusually and that a technical screen alone omits company fundamentals, economic conditions, and policy influences. It suggests adding financial, valuation, industry, and broader market information, but does not define those extra filters or provide backtest results. The K-line indicator's precise calculation is not explained, and the title's volume threshold differs from the body, which specifies the 1.5-to-6 interval. Treat this as an incomplete screening example rather than a validated strategy.
Key ideas
- The screen combines amplitude above 1%, a K-line reading below 20, and relative volume between 1.5 and 6.
- Relative volume is calculated against a 10-day average in the provided implementation examples.
- The post recommends incorporating fundamental, industry, and macroeconomic information alongside technical filters.
- It warns that indicator extremes and omitted market context can undermine selection quality.
- No performance evidence is supplied, and the K-line measure is not defined precisely.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.