Screening Chinese Stocks by Daily Range, Recent Limit-Ups, and MACD

Summary

This stock-selection screen combines three conditions: the day’s high-low range must exceed one percent of the low, a limit-up event must have occurred within a recent lookback window, and MACD must be above zero. The stated rationale is that a wider range may indicate greater movement, a recent limit-up may signal relative strength, and positive MACD may indicate an uptrend. The selected shares enter a candidate pool rather than triggering a fully specified trade.

The document provides example formulas and Python-style logic, including standard MACD settings and a rolling check for recent limit-up events. It also cautions that technical indicators alone omit company fundamentals and broader market conditions, recommending a broader evaluation framework. No backtest, benchmark, transaction-cost analysis, or evidence of returns is reported. The formula snippets contain implementation details that may require checking against the intended market rules and data fields before use.

Key ideas

• The screen requires a daily high-low range greater than one percent of the low.
• It also looks for a recent limit-up event and positive MACD.
• The proposed conditions create a watchlist or candidate pool rather than a complete trading system.
• The source warns that technical signals omit fundamental and market-wide factors.
• No performance test or return evidence is supplied.

Tags

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