A Stock Screen Using Turnover, Low K, and Three Falling Closes

Summary

This document presents an A-share stock selection idea that combines turnover between 3% and 12%, a K indicator below 20, and three consecutive days of falling closing prices. It describes the signal as a technical screen for stocks that might merit consideration, and recommends adding broader analysis before making a decision. The article also mentions example filters for price, market capitalization, and industry, though its prose and code examples do not fully align on the criteria or implementation.

The proposed method relies on short-term price behavior, turnover, and an indicator threshold. The document gives no backtest, performance figures, or evidence that these filters predict returns. It warns that a purely technical screen leaves company fundamentals and market conditions out of the analysis, and suggests incorporating fundamental measures. Data availability and correctness of the supplied example code would also need checking before use.

Key ideas

• The screen combines a turnover range, a low K reading, and three consecutive falling closes.
• The article frames the conditions as a stock selection signal rather than evidence of expected performance.
• Its prose and code examples differ on some screening details, so the implementation needs review.
• The method omits company fundamentals and broader market conditions.

Tags

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