Mainland China Stock Screen Using RSI, Daily Gains, and Ten-Day Returns

Summary

The document describes a rules-based screen for mainland China main-board stocks. It selects shares with RSI below 65, a daily gain above 1%, and a positive ten-day return below 35%. The accompanying indicator logic also references a crossover where the J value moves above the D value, along with a condition placing the opening price near a ten-day moving average. The proposed rationale is to combine recent strength with a capped short-term advance and a momentum-turn signal.

The article offers no backtest, portfolio returns, transaction costs, or comparison against a benchmark. It frames the RSI threshold as oversold, although RSI below 65 alone does not establish oversold conditions. The Python example and platform formula also appear to differ in details, so the exact screening implementation is uncertain. The rules are presented as a starting point, with market regime sensitivity and the need for risk controls acknowledged.

Key ideas

• The screen targets main-board stocks with RSI below 65 and a daily gain above 1%.
• It restricts ten-day returns to positive values below 35%.
• The indicator logic includes a J-over-D crossover and an opening-price condition near a ten-day average.
• The document gives a rationale for the filters but provides no backtest or performance evidence.
• The described formulas and code differ in places, so the implementation should be checked before use.

Tags

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