Chinese Equity Screening with Turnover, Profit Growth, and KDJ Crossovers

Summary

The document describes a Chinese stock screen combining turnover, year-over-year net profit growth attributable to shareholders of the parent company, and a newly formed KDJ bullish crossover. Its stated filters require turnover between 3% and 12%, profit growth above 20% and at or below 100%, and K above D after being below it on the prior observation. It includes reference formulas and a Python example intended to select stocks meeting the conditions.

The accompanying commentary says the fundamental filters are retained while the KDJ condition adds a technical signal. It flags subjectivity in deciding whether a crossover is recent and warns that technical indicators can lag. Suggested refinements include adding indicators or waiting after a signal. Although the article calls the approach empirically effective, it supplies no backtest methodology, returns, or risk statistics to substantiate that claim. The code also hard-codes a reporting period and uses market data fields whose interpretation should be checked before relying on the screen.

Key ideas

• The screen combines turnover, profit growth, and a recent bullish KDJ crossover.
• The stated turnover range is 3% to 12%, and profit growth must exceed 20% without exceeding 100%.
• The crossover condition compares current K and D values with their prior values.
• The article notes that crossover timing is subjective and that technical indicators may lag.
• No backtest methodology or performance statistics are supplied to support the effectiveness claim.

Tags

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