Chinese Stock Screening with Five-Year ROE and Recent Limit-Ups

Summary

This Chinese equity screening idea combines a price-range condition, sustained profitability, and recent strong price action. It selects stocks with an intraday high-to-low range of at least one, return on equity above 15% for five consecutive years, and at least one limit-up move within the past month. The article also provides sample indicator logic for implementing the filters. It suggests adding trading activity and valuation measures such as price-to-earnings or price-to-book ratios to refine the screen.

The post gives no backtest, selection count, benchmark, or return evidence, so it does not establish that the combination is profitable. Its stated risks include relying too heavily on a recent limit-up event or a small number of indicators, and overlooking company or industry characteristics. The meaning of the range threshold and the operational definition of a qualifying limit-up should be checked against the market data and market rules used before implementation.

Key ideas

• The screen combines a minimum daily high-to-low range with five years of ROE above 15%.
• It also requires a limit-up event within the previous month.
• The post recommends adding market activity and valuation measures for a broader assessment.
• No performance results are supplied, and the stated filters may omit company-specific and industry risks.

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