Screening Chinese Stocks by Amplitude and Recent Limit-Up History

Summary

This Chinese stock-screening strategy selects shares with daily price amplitude above 1, a listing history longer than one year, and at least two limit-up events within the past 500 trading days. The rationale is to favor established stocks that show active trading and have previously attracted strong buying interest. The document also provides example indicator logic and a Python-style implementation outline for applying the screen.

The article cautions that market volatility, policy changes, short-term price swings, and shifts in market themes can undermine the signals. Its absolute thresholds do not compare a stock with a benchmark, and past limit-ups do not establish future performance. It suggests combining the screen with technical or fundamental measures, capital-flow information, and industry context. No backtest, performance statistics, or evidence that the selection rules are profitable is provided; the examples should be treated as screening logic rather than a validated trading system.

Key ideas

• The screen requires amplitude above 1 and a listing history longer than one year.
• It also requires at least two limit-up events during the previous 500 trading days.
• The author treats amplitude as a proxy for activity and past limit-ups as evidence of prior market interest.
• Market shifts and short-term fluctuations can make these criteria misleading.
• The article recommends adding other technical, fundamental, or industry filters, but provides no performance validation.

Tags

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