Chinese Stock Screen Combining Amplitude, Control, and Rising Lows

Summary

This Chinese stock-selection note proposes screening for shares with price movement above a stated amplitude threshold, a high control indicator, and rising lows intended to signal a potential bottom reversal. Its refined version adds volume above the five-day average, turnover below a threshold, and positive net buying on the market ranking list. The article explains that rising lows may identify a rebound, while the added filters are meant to broaden the evidence used in selection.

The note provides indicator formulas and Python-style examples, but no backtest results or performance evidence. It cautions that the screen selects a narrow set of stocks and relies heavily on technical signals, which can lag or misfire and omit macroeconomic, policy, and event risks. The author suggests adding indicators and macro analysis and improving risk controls; the proposed extra filters do not establish that the strategy is profitable or robust.

Key ideas

• The screen combines price amplitude, a control measure, and rising recent lows to seek possible bottom reversals.
• The refined version also filters for above-average volume, low turnover, and positive net buying on the ranking list.
• The article supplies formula and Python-style examples but reports no measured performance.
• The author warns that technical signals can be delayed or misleading and that the narrow screen overlooks broader market risks.

Tags

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