Screening Chinese Stocks with Positive MACD, PE, and Recent Returns

Summary

This stock-selection recipe screens Chinese equities before each trading day for three conditions: MACD above zero, a positive price-to-earnings ratio, and a positive recent return. The return calculation compares the prior close with the close from an earlier lookback point. The post presents these conditions as combining a technical trend filter with basic valuation and profitability-related screening, then suggests sorting candidates by trading activity.

The document supplies indicator definitions and example screening logic, but it does not report a backtest, portfolio construction rules, transaction costs, or realized performance. Its own risk discussion notes that qualifying stocks may still have weak fundamentals and that data can be delayed or inaccurate. It proposes adding other technical and fundamental filters, industry selection, or machine-learning methods, but gives no evidence that these changes improve results. The screen therefore describes a starting selection rule rather than a validated trading strategy.

Key ideas

• The screen selects stocks with MACD above zero, positive PE, and positive recent returns.
• Candidates are evaluated before each trading session.
• The example uses a recent price comparison for its return condition and suggests activity-based sorting.
• The post provides no backtest or performance evidence for the screening rule.
• Data quality and the limited nature of the filters are stated risks.

Tags

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