Screening for High-Amplitude Stocks After Three Limit-Up Days

Summary

This Chinese-language post presents a technical stock-selection idea combining three conditions: daily price amplitude above one, three consecutive limit-up sessions ending the previous day, and three consecutive declining sessions. It frames the conditions as a way to find volatile, actively traded stocks whose recent strength has been followed by weakness. The accompanying Python example calculates a high-low range condition and applies sequences of closing-price comparisons and declines to identify candidates.

The post acknowledges that technical signals alone omit company fundamentals and industry conditions, and that price patterns cannot reliably predict future moves. It suggests adding fundamental, industry, and broader market analysis, then backtesting and refining the rules. However, it does not provide a clear definition of amplitude units, precise timing conventions for all conditions, or any backtest results. The example uses futures-style contract data despite the article describing stock selection, which may limit its direct applicability. The rules are therefore best understood as an unvalidated screening concept, not evidence of a profitable strategy.

Key ideas

• The proposed screen combines price amplitude above one with three prior limit-up sessions and three declining sessions.
• The accompanying code uses high-low ranges and closing-price sequences to filter candidate instruments.
• The article warns that technical-only selection omits fundamental and industry information and remains uncertain.
• It recommends adding broader analysis and backtesting, but reports no performance evidence.
• The sample code uses futures-style contract data, which may not directly implement the described stock screen.

Tags

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