Chinese Stock Screening by Price Range and Prior Limit-Up Events

Summary

The proposed equity screen selects stocks whose intraday high-low range exceeds one, that did not close at the upper price limit on the previous day, and that reached the limit at least twice during the prior 500 days. The article frames these conditions as a way to find smaller companies with noticeable price movement and a history of strong upside sessions. It also gives a range formula and a Python example intended to illustrate data retrieval and screening.

The rationale is not supported by reported tests, portfolio results, or risk-adjusted performance. The example code does not clearly implement all the stated conditions: it checks daily percentage changes and then applies a weekly price condition, while the prior-day limit status and range screen are not explicitly applied. The author acknowledges that the screen omits company fundamentals, financial information, and industry prospects, and suggests combining these with tighter signal rules. The method is therefore a rough screening idea, not a complete or validated investment strategy.

Key ideas

• The stated screen uses a range threshold, prior-day limit status, and limit-up frequency over a historical window.
• The article presents past limit-up events as a possible indicator of strong price behavior.
• Its sample code does not visibly apply every condition described in the screening rules.
• The approach omits fundamentals and industry analysis and has no reported backtest evidence.

Tags

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