Chinese Stock Screen Using Turnover, Listing Code, and RSI
Summary
The document describes a Chinese equity screening rule that selects stocks whose codes begin with 60, whose turnover rate is between 3% and 12%, and whose 14-period RSI is below 65. It gives a brief rationale: turnover is used as a liquidity filter, the code prefix limits the market universe, and RSI adds a technical condition. It also includes example query and Python snippets intended to apply those filters to daily stock data.
No performance results or validation method are provided, and the examples do not establish that the screen produces profitable trades. The article warns that it omits company fundamentals and relies heavily on one technical indicator; it suggests adding other technical and fundamental measures. The strategy is therefore a basic screening recipe, not a complete trading system: it does not specify entry timing, exits, position sizing, transaction costs, or portfolio risk controls.
Key ideas
- The screen limits candidates to stocks with codes beginning with 60.
- It requires turnover between 3% and 12% and a 14-period RSI below 65.
- The document gives query and Python examples for applying the selection criteria.
- It provides no backtest or evidence that the selected stocks outperform.
- The rule omits fundamentals and broader trade and risk management decisions.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.