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Screening Chinese Stocks for Large Amplitude, Rounded Price Action, and Recent Limit-Up Streaks

Article SuperMind

Summary

This note describes a Chinese A-share screen combining amplitude above 1, a rounded price pattern, and a three-day limit-up streak on the previous day. Its formula reference expresses the rounded shape through a five-day price-range position and checks for a larger twenty-day range. The stated rationale is to find active stocks in market themes while avoiding some of the risk associated with abrupt price movement.

The note warns that picks can fall sharply if their sector’s popularity fades, and that technical screening alone leaves out company fundamentals. It suggests adding financial and industry analysis, but gives no backtest, performance evidence, or precise definition of the amplitude condition. The article’s final formula and its prose do not fully clarify how the rounded pattern or the three-day streak are measured, so the screen would need careful interpretation and validation before use.

Key ideas

  • The screen combines amplitude above 1 with a rounded-pattern condition and a recent three-day limit-up streak.
  • The formula reference uses price ranges over five and twenty days to represent shape and movement.
  • The article proposes adding company financials and industry context to the technical screen.
  • Theme dependence and missing fundamental analysis are identified as risks.

Tags

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