Screening for High-Amplitude Stocks with a Rising Trend

Summary

This article outlines a Chinese equity screen combining daily price amplitude above 1, a condition described as main-fund control on the prior day, and a signal for the start of a sustained upward move. It presents the screen as a way to identify stocks in an advancing trend and reduce exposure to sideways price action. It also gives example formulas for estimating fund flows and a recent high-price measure, alongside sample selection code. The formulas and code are presented as references rather than a validated implementation.

The article warns that the screen omits company fundamentals, so a selected stock could still face business or financial problems. Its rising-trend requirement may also exclude lower-volatility stocks. Suggested improvements include adding fundamental and broader market conditions, and loosening the trend filter or using other technical criteria. No backtest results, performance measures, or evidence that the signals predict returns are provided, so the screen should be treated as a proposed selection rule rather than an established strategy.

Key ideas

• The screen combines price amplitude, a prior-day main-fund condition, and a signal for an emerging uptrend.
• The article describes the trend condition as a way to avoid selecting sideways-moving stocks.
• It provides example formulas and code, but does not report validation or backtest results.
• The screen omits company fundamentals and may exclude lower-volatility stocks.

Tags

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