Screening Chinese A-Shares by RSI, Profit Growth, and Turnover

Summary

This stock screen combines a 14-period RSI below 65 with year-over-year growth in net profit attributable to parent-company shareholders above 20% and no higher than 100%, plus prior-day turnover above 8%. The accompanying example also requires positive net profit and, in its database query, excludes certain listings and applies a large free-float market capitalization filter. The stated goal is to find stocks with both earnings growth and active trading.

The document explains that the financial growth measure and RSI are intended to capture different characteristics, while high turnover can reflect market attention. It gives formula and code examples, but no historical results or validation. The author notes that turnover can be distorted by speculation and that the screen omits broader business, industry, and balance-sheet considerations; the examples also differ in which additional filters they apply.

Key ideas

• The core screen pairs RSI below 65 with net profit growth above 20% and at most 100% year over year.
• Prior-day turnover above 8% is used as a measure of trading activity.
• One database example additionally requires positive net profit and a free-float market value threshold.
• High turnover may reflect speculation, and the screen leaves out important company and industry factors.
• The document provides implementation examples but no reported backtest or performance evidence.

Tags

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