Combining RSI, Large-Order Flows, and Rising KDJ Values for Stock Selection

Summary

This stock-selection proposal combines a relative-strength index filter with price movement, large-order net inflows, and rising stochastic-style KDJ readings. The stated screen requires RSI below 65, a positive product of percentage price change and a super-large-order net-flow measure, and increases in the K, D, and J values. An example implementation also applies turnover, price-to-book, and price-to-earnings filters, then limits the returned list to 50 stocks. The author interprets the combination as a way to find shares with possible rebound potential by mixing technical and capital-flow signals.

No backtest, portfolio results, or validation evidence is supplied. The note cautions that technical measures may misread price direction, input data may be incomplete or inaccurate, and broad-market or company changes can undermine the screen. It proposes adding other technical indicators and fundamental criteria. The descriptions of some formulas and thresholds are incomplete or ambiguous, and the example relies on provider-specific data fields; both signal definitions and timing would need to be clarified before reproduction or testing.

Key ideas

• The proposed screen pairs RSI below 65 with price movement multiplied by a large-order net-flow measure.
• It requires KDJ readings to rise across K, D, and J in the example implementation.
• The sample adds turnover and valuation filters and caps its output at 50 stocks.
• The note offers no backtest evidence and flags data quality and market risks.
• Signal definitions and data-field timing need clarification for reproducible evaluation.

Tags

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