Combining RSI, KDJ Crossovers, Price Change, and Large-Order Flow

Summary

This stock-screening idea combines an RSI reading below 65, a price-change measure multiplied by net flow from very large orders, and a newly formed KDJ golden cross. The stated rationale is to combine technical conditions with a measure of buying or selling activity. Its example describes a KDJ crossover as K moving above D and suggests using the crossover alongside the other filters rather than alone.

The article gives indicator definitions and sample screening code, but provides no performance results or backtest evidence. The code and prose also leave implementation details unclear: the description refers to a low-level crossover, while the example checks the J and D series, and the price-change and order-flow condition is represented differently across the examples. The author cautions that market regimes can change, signals can lag or be false, and technical and flow measures omit other relevant factors. Fundamental, sector, and trend filters are suggested as possible additions, not validated improvements.

Key ideas

• The proposed screen combines an RSI threshold, a price-change and large-order-flow measure, and a recent KDJ crossover.
• The article frames the combined filters as a way to consider technical and trading-flow information together.
• The sample code does not clearly match all the indicator definitions and conditions in the prose.
• No backtest results are provided, and the article warns that the signals may lag or fail in changing markets.

Tags

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