Combining Rising Price Lows with Revenue Growth for Stock Selection

Summary

This Chinese-language post describes an equity screen that combines a price-structure condition with historical revenue growth. It selects stocks with amplitude above one, rising lows, and 2021 revenue more than 1.1 times 2018 revenue. The rationale is that improving price lows may indicate a constructive trend, while revenue growth adds a fundamental filter for longer-horizon selection.

It also outlines a Bollinger-band exit condition: sell when price reaches the upper band, with formula and Python examples intended to implement the screen and signal. The post cautions that strict filters can omit promising stocks and that broad market declines may weaken results. It proposes adding other fundamental or technical variables, but provides no performance data, validation method, or evidence that the conditions predict returns. The historical revenue window also makes the screen dependent on the specified period and does not establish that growth will continue.

Key ideas

• The screen combines amplitude above one and rising lows with a historical revenue growth threshold.
• Revenue in 2021 must exceed 1.1 times revenue in 2018.
• The described exit signal uses price reaching the upper Bollinger band.
• Strict conditions can exclude stocks, and market-wide weakness can undermine the selected names.
• The post gives implementation examples but no backtest results or predictive evidence.

Tags

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