Combining RSI, Three Down Candles, and Revenue Growth for Stock Selection

Summary

This Chinese-language article outlines an equity screen combining a 14-period RSI below 65, three consecutive bearish candles, and a ratio of 2021 revenue to 2018 revenue above 1.1. It presents the conditions as a blend of technical price signals and a historical revenue-growth filter, and includes example formula and Python-style screening logic. The article also mentions sorting qualifying stocks by trading volume.

No backtest results, universe definition, transaction costs, or evidence of predictive value are provided. The examples are inconsistent: the stated bearish-candle condition conflicts with some code comparisons, and the snippets include placeholders for additional indicators. The article itself warns that relying heavily on price and revenue measures can overlook other company factors, and suggests adding valuation measures and risk controls. The screen should therefore be treated as an incomplete proposal, not a validated strategy.

Key ideas

• The proposed screen requires RSI below 65, three consecutive down candles, and revenue growth between the stated years above the specified threshold.
• The article combines technical signals with a fundamental revenue measure.
• The examples contain inconsistent candle comparisons and placeholder conditions.
• No performance testing or transaction-cost analysis is reported.
• The article recommends broader fundamental checks and risk controls.

Tags

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