Chinese Stock Screening with Volume Ratio, Moving Average Proximity, and MACD

Summary

This Chinese stock selection rule combines three filters: rank stocks among the top 100 by volume ratio, keep those whose opening price is within five percent above or below the ten-day moving average, and look for a shortening histogram in the 15-minute MACD. The stated rationale is that stronger relative trading activity may signal inflows, proximity to the moving average may identify a nearby support or resistance area, and contracting negative MACD bars may precede a short-term rebound.

The post gives qualitative explanations and cautions, but no backtest, return figures, or detailed operational rules for measuring a shortening histogram or timing entries and exits. It notes that flow, price proximity, and a short-term indicator each omit other relevant context, including fundamentals, market mood, industry direction, and the broader market trend. The described screen is therefore a candidate selection heuristic, not evidence of a tested or complete trading strategy.

Key ideas

• The screen ranks stocks by volume ratio and retains the top 100.
• It filters for opening prices within five percent of the ten-day moving average.
• A 15-minute MACD histogram that is becoming shorter is used as a possible rebound signal.
• The post warns that these indicators omit fundamental, industry, sentiment, and market-wide information.
• No performance testing or quantified results are provided.

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