Combining RSI, a 30-Day Range Condition, and a Morning Price Cap

Summary

This Chinese equity screen combines three conditions: a 14-period RSI below 65, unchanged 30-day high and low values compared with the prior session, and an opening price less than 6% above the previous close. The article frames the morning price cap as a way to avoid stocks that have already risen sharply, while the range condition is labeled as a signal for the start of a major advance. It includes formula and Python examples, along with additional sample-code filters for stock status and market capitalization.

The note reports no backtest results or other evidence that the conditions predict returns. Its sample code uses daily opening prices as a proxy for the stated 9:25 price, so it may not represent that exact observation. The author cautions that technical and early-session data omit fundamentals and broader market factors, and suggests adding financial measures and risk controls such as stops and position management.

Key ideas

• The screen requires RSI below 65 and a 30-day high and low that match their prior-session values.
• It caps the opening gap at less than 6% above the previous close.
• The provided examples include additional eligibility filters beyond the three headline conditions.
• The article gives no evidence of predictive performance and warns that short-term technical signals omit fundamentals.

Tags

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