Screening Chinese Stocks with Volatility, Moving Average Crossovers, and Recent Gains

Summary

This post outlines a short-term stock screen using three conditions: price amplitude above a threshold, simultaneous moving-average crossovers, and at least one daily gain of 10% or more within the previous 25 trading days. The recent large gain is treated as a sign of notable upward movement, while the crossovers are intended to capture a developing technical signal. The post includes example formulas and sample implementation references, but does not specify all parameter choices consistently across them.

The author cautions that the screen focuses on short-term price movement and does not account adequately for company fundamentals or broad market risk. It suggests adding other quantitative factors and considering those broader conditions when selecting stocks. No backtest methodology, benchmark, transaction cost analysis, or performance evidence is provided, so the proposed criteria should be understood as a screening idea rather than a validated strategy.

Key ideas

• The screen combines a price-amplitude threshold with three moving-average crossover conditions.
• It also requires at least one daily gain of 10% or more during the prior 25 trading days.
• The post presents recent sharp gains as a possible indicator of short-term strength.
• The author notes that the screen omits fundamentals and overall market risk.
• No backtest results or evidence of profitability are given.

Tags

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