Monthly Stock Screening with MACD, Positive P/E, and Dividend Ratio
Summary
This Chinese A-share screening note describes selecting stocks on the first trading day of each month when MACD is above zero, trailing P/E is positive, and the 2019 dividend ratio exceeds 25%. It interprets MACD as a trend filter, positive P/E as a basic valuation sanity check, and the dividend condition as a sign of payout capacity. It also gives indicator-field references and suggests ranking candidates by trading volume.
The note provides no backtest, performance evidence, or validation of the proposed explanations. Its stated risks include mismatch between screening data and current conditions, and the fact that a high dividend ratio does not ensure strong returns. The historical dividend year may be stale, and the monthly schedule does not itself establish that signals remain valid between selection dates. The author suggests adding further indicators and fundamental data, but does not specify or evaluate those additions.
Key ideas
- The screen requires MACD above zero, positive P/E, and a 2019 dividend ratio above 25%.\nCandidates are selected on the first trading day of each month.\nThe proposed ranking uses trading volume.\nA high dividend ratio does not guarantee strong stock performance.\nThe note offers no backtest evidence for the screening rules.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.