Revenue Growth and RSI Filters for Chinese Stock Screening

Summary

This stock screen combines a technical condition with company size and historical revenue growth. It selects shares with an RSI below 65, circulating market capitalization above 20 million, and 2021 revenue more than 10% higher than 2018 revenue. The article also shows example screening logic and ranks qualifying stocks using liquidity, profitability, turnover, valuation, and recent price change measures.

The approach aims to identify companies with a degree of scale and multi-year sales growth while avoiding stocks with relatively high RSI readings. The article cautions that revenue figures may be unreliable or growth may not persist amid competition. It suggests adding profit and asset growth measures and comparing a wider span of years. No backtest results or evidence of performance are supplied, so the conditions describe a screening recipe rather than a validated trading strategy.

Key ideas

• The screen requires RSI below 65 and circulating market capitalization above 20 million.
• It compares 2021 revenue with 2018 revenue and requires growth greater than 10 percent.
• Additional financial measures could help assess company quality and growth consistency.
• The article gives no performance evidence, and reported revenue or its growth may be unreliable.

Tags

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