Screening Chinese Stocks by RSI, Profit Growth, and Curved Price Movement

Summary

This stock screen combines a technical condition with reported earnings growth and a price-shape filter. It selects A-shares with a 14-period RSI below 65, parent-company net profit growth from above 20% through 100%, positive net profit, and a curved-movement score above 0.6. The example also excludes certain listings, requires free-float capitalization above 10 billion yuan, and ranks candidates by that capitalization.

The post explains the RSI threshold as a way to find shares that may be recovering, while the earnings filter seeks companies with substantial but bounded growth. It presents SQL-style and Python examples, but the Python growth calculation and curve formula may not match the stated financial and shape definitions exactly. No backtest results or evidence of predictive value are provided. The author cautions that the screen omits broader company and industry analysis, and that a curved price pattern may be unstable; adding other financial and technical measures is suggested.

Key ideas

• The screen combines RSI below 65 with positive net profit growth greater than 20% and no more than 100%.
• It also applies a curved-price filter and capitalization constraints before ranking candidates.
• The post provides example implementations but no backtest evidence.
• The author cautions that the screen omits important company and industry factors.

Tags

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