Combining MACD, Money-Flow Strength, and an Opening-Price Cap

Summary

This Chinese stock-selection note combines a positive MACD condition, descending order by money-flow strength, and a limit on the stock’s gain by 9:25. The intended screen seeks shares with a favorable technical signal and comparatively strong fund flows while filtering out those whose early move exceeds 6%. Its examples describe a MACD crossover, assess recent main-fund inflows against outflows, sort candidates using a turnover-related measure, and check intraday highs against a prior close. The accompanying sample also adds fundamental filters such as positive valuation ratios and return on equity.

The article explains that the early-gain cap may exclude stocks that later perform well, and that the screen may omit other relevant technical, funding, or market factors. It recommends checking fundamentals and tuning the threshold through live testing. No backtest results or evidence of profitability are provided. The formula descriptions and code use different formulations of the MACD and money-flow tests, so they do not establish one fully consistent, reproducible selection rule or specify trade exits, sizing, and risk controls.

Key ideas

• The proposed screen combines a positive MACD signal with money-flow strength and a 9:25 gain below 6%.
• The example ranks candidates using a turnover-related measure after comparing recent main-fund inflows and outflows.
• The sample code includes fundamental filters such as positive valuation ratios and return on equity.
• The early-gain cap may exclude stocks that subsequently perform well.
• The document gives no backtest evidence and its formula and code descriptions are not fully aligned.

Tags

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