Combining Amplitude, RSI, and an Uptrend Trigger in a Stock Screen

Summary

This Chinese stock-screening note proposes selecting shares with amplitude above 1%, RSI below 65, and a condition labeled “main uptrend start.” It describes that condition as an attempt to detect an emerging rise or rebound, potentially accompanied by higher trading volume. The refined version adds a price-to-earnings ratio below 30 and recommends considering company and industry fundamentals alongside technical signals. Example indicator formulas and a Python outline are included.

The document presents a screening concept rather than evidence of a tested strategy: it gives no historical performance, sample, or benchmark. It also cautions that the trend-start judgment may be subjective and that a technical and capital-flow focused screen can select weak companies. The displayed moving-average crossing condition may not align clearly with the accompanying prose about an emerging uptrend, so implementation details would need checking before use. The suggested fundamental filters are recommendations, not evaluated improvements.

Key ideas

• The proposed screen combines amplitude above 1%, RSI below 65, and a condition intended to identify an emerging uptrend.
• The refined criteria add a price-to-earnings ratio below 30 and suggest including fundamental and industry information.
• The note supplies example formulas and a Python outline, but no backtest results.
• It identifies subjectivity in the trend-start signal and the risk of selecting low-quality companies.
• The formula and prose describing the trend trigger may require reconciliation before implementation.

Tags

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