Chinese Stock Screen Using Amplitude and Prior-Day Price Levels

Summary

This Chinese equity selection rule combines daily trading range with two prior-day price conditions. It seeks stocks whose amplitude exceeds 1%, whose previous session was not limit-up, and whose current close is above the previous session’s low. The post frames these conditions as a way to find active stocks with possible upside and suggests that holding duration and entry or exit rules should be set according to risk and return preferences.

The document includes indicator expressions and a sample data workflow, but it does not report backtest results or evidence that the conditions forecast gains. The code example’s checks do not consistently correspond to all the stated filters, so a working implementation would need validation. The author notes that this technical screen ignores company fundamentals and can produce short-term false signals. Additional technical or fundamental factors and explicit trade management are proposed as possible improvements.

Key ideas

• The screen requires daily amplitude above 1% and excludes stocks that were limit-up the prior day.
• A candidate must close above its previous session’s low.
• The post proposes the conditions as a buy signal but leaves holding period flexible.
• No performance evidence is provided, and the sample logic may not fully match the stated rules.
• Fundamental information and explicit entry, exit, and risk controls are not specified.

Tags

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