Combining RSI, Profit Growth, and Volume for A-Share Selection

Summary

This stock-screening example combines a technical condition with reported earnings growth and trading activity. It selects A-share stocks with a 14-period RSI below 65, year-over-year growth in parent-company net profit from above 20% through 100%, and a volume ratio between 1.5 and 6. The article also describes additional universe filters, including positive net profit, a minimum free-float market value, listing and trading-status checks, and excluding a market segment. Selected stocks are ordered by free-float value.

The rationale offered is that the RSI condition avoids the strongest readings, while earnings growth seeks companies with improving fundamentals and elevated volume identifies active shares. The document provides example SQL and Python-style logic, but no performance results or backtest evidence. It warns that the screen omits other company and industry information and that volume ratios can shift with broad market activity. The suggested additions, such as other financial data and technical indicators, are proposals rather than tested improvements. The screen is therefore a starting point for research, not evidence of a profitable strategy.

Key ideas

• The screen requires RSI below 65, net-profit growth above 20% and at most 100%, and a volume ratio between 1.5 and 6.
• Additional filters restrict the universe by profitability, listing status, exchange segment, and free-float value.
• The author presents the screen as a way to find growing, actively traded stocks.
• No backtest results are supplied, so profitability and robustness are not established.
• Industry conditions and broader company fundamentals could alter the screen’s results.

Tags

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