Chinese Stock Screen Using Ten-Day Returns, Weekly MACD, and RSI

Summary

This stock-selection method looks for a positive return over ten days that remains below 35%, a weekly MACD above its zero line, and an RSI below 65. The post frames the return filter as an additional screen alongside a longer-horizon trend condition and a momentum indicator. It also includes sample formula and Python references, though the code does not consistently implement weekly MACD: its calculations appear to use daily closing prices.

No backtest, performance results, or evidence of predictive value are supplied. The post warns that reliance on a small set of technical signals can overlook fundamentals and other market drivers, and may leave selections concentrated in one industry. It suggests considering volume, valuation, volatility, industry, and regional or thematic exposures. The stated final logic also mentions growth, value, and industry quality without defining measurable criteria for them, so those additions are not operationally specified.

Key ideas

• The screen combines a positive ten-day return below 35% with RSI below 65.
• It requires weekly MACD to be above zero.
• The post gives example implementations, but the code shown may not calculate MACD on weekly data.
• The strategy is not supported by reported backtest results.
• Industry concentration and missing fundamental information are identified as limitations.

Tags

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