Chinese Stock Screening with RSI, Market Cap, and Profit Growth

Summary

This Chinese equity screening idea combines a technical condition with company size and earnings growth. It selects stocks with RSI below 65, a stated free-float market capitalization between 5 billion and 10 billion yuan, and year-over-year growth in net profit attributable to parent shareholders above 20% and no more than 100%. The accompanying discussion presents RSI as a gauge of short-term price conditions and earnings growth as a fundamental consideration.

The article offers an illustrative Python reference and suggests adding trading volume, price changes, fund flows, industry context, and market liquidity for a broader assessment. It does not report a backtest, specify a holding period or rebalancing rule, or provide evidence that the screen predicts returns. The prose also notes that a small set of filters can miss market and industry effects, that profit growth may be hard to compare across firms, and that valuation risks remain. The code reference’s data fields and calculations should be checked against the intended definitions before use.

Key ideas

• The screen requires RSI below 65 and a free-float market capitalization between 5 billion and 10 billion yuan.
• It also selects for year-over-year parent-attributable net profit growth above 20% and up to 100%.
• The article suggests combining the screen with liquidity, industry, technical, and capital-flow measures.
• It provides no backtest evidence, and the stated filters may overlook market context or differences in earnings comparability.

Tags

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