Combining Weekly MACD, a Rising 30-Day Average, and Position Increases

Summary

This Chinese stock-selection proposal combines three signals: a daily increase in position share above 5%, weekly MACD above the zero line, and a rising 30-day moving average. The article interprets these as evidence of recent capital inflows and upward short- and longer-term price trends. Its example code sketches calculations for the position-change measure, weekly MACD, and moving average, but the excerpt ends before showing a complete selection or trading procedure.

The discussion cautions that the screen focuses on short-term trend and capital-flow indicators without assessing company fundamentals or financial condition. It also notes that shares that look strong during volatile markets may not remain attractive over longer horizons. Suggested refinements include adding fundamental and financial data and examining longer trend periods. Although the proposed final logic mentions sound fundamentals and stable market conditions, it supplies no concrete definitions for those conditions, no portfolio or exit rules, and no backtest results.

Key ideas

• The proposed screen requires position increases above 5%, weekly MACD above zero, and a rising 30-day moving average.
• The article interprets the signals as evidence of inflows and positive price trends.
• The code excerpt is incomplete and does not establish a full selection or trading process.
• The screen omits fundamental measures and may perform poorly when market conditions change.
• The proposed fundamental and stability filters are not defined quantitatively.

Tags

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