Chinese Equity Screening with Positive MACD and a Rising Moving-Average Trend

Summary

This post outlines a Chinese equity selection rule combining a positive MACD reading with a 20-day moving average above the 120-day average. It also refers to a company-nature condition, but does not define that criterion. The accompanying discussion frames the moving-average relationship as a way to select stocks with an established trend and describes the combination of technical and company-related filters as an attempt to broaden the assessment beyond price signals alone.

The post includes illustrative indicator and data-platform code, but reports no backtest, returns, or other evidence that the screen is profitable. It warns that relying heavily on technical conditions may exclude fundamentally strong stocks with weak short-term charts and narrow the candidate set. It suggests adding financial measures and adjusting parameters to sector or stock characteristics. The title mentions a threshold of 12, while the body and stated final rule specify 120 days; this discrepancy should be resolved before implementing the screen.

Key ideas

• The stated technical filters are MACD above zero and the 20-day average above the 120-day average.
• The post also names a company-nature filter without explaining how to measure it.
• The rationale is to favor stocks with positive momentum and an established trend.
• The author notes that technical filters may omit stocks with strong fundamentals but weak recent price action.
• No backtest or performance evidence is provided, and the title conflicts with the body on the long moving-average period.

Tags

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