Chinese Stock Screen Using MACD, Rising 30-Day Average, and Amplitude

Summary

This stock selection rule combines a minimum daily amplitude threshold with MACD above its zero line and a rising 30-day moving average. The rationale is to seek stocks showing price movement, positive MACD momentum, and an upward medium-term trend. The document also gives formula examples and a Python sketch for screening stocks, though the formulas and code use differing amplitude calculations and threshold scales, so they should not be assumed to implement precisely the same rule.

The text cautions that the screen relies only on technical indicators, omitting company fundamentals, and that an upward moving average may miss short-term pullbacks. It suggests adding financial and industry information or combining indicators such as RSI. No historical test, performance evidence, universe definition suitable for general use, or transaction-cost analysis is provided; the proposed logic is a screening idea rather than a demonstrated investment strategy.

Key ideas

• The screen requires amplitude above a threshold, MACD above zero, and a rising 30-day average.
• The stated rationale combines price activity, positive momentum, and an upward trend filter.
• The document flags that technical-only selection omits company fundamentals and industry conditions.
• A rising moving average can fail to capture short-term pullbacks.
• The formula examples and Python sketch differ in how they express amplitude and thresholds.

Tags

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