Screening for Price Range, Rounded Patterns, and Buy-Sell Imbalance

Summary

This Chinese stock-screening proposal combines three conditions: a price-amplitude threshold, a rounded price pattern, and an external-to-internal trading volume ratio above 1.3. Its example formula expresses the rounded-pattern condition through a 50-period price-range position, alongside additional filters for volume-rate change, a positive indicator value, and a bounded price change. The text characterizes the screen as aimed at short-term trading and uses the order-flow ratio as a rough sign of current trading pressure.

The author cautions that the screen omits fundamental factors and that the external-to-internal ratio is not analyzed in enough detail. It suggests separating buy-side and sell-side measures and considering broader technical, fundamental, and macroeconomic inputs. The Python implementation is left blank, and the post provides no backtest, sample trades, or results. The phrase describing the rounded shape is not rigorously defined, so the formula and narrative may not describe an unambiguous or reproducible pattern.

Key ideas

• The screen combines a price-amplitude threshold, a rounded-pattern condition, and an external-to-internal trading ratio above 1.3.
• The example formula also includes several additional technical filters.
• The author treats the trading ratio as a rough market-activity signal and notes that it needs finer analysis.
• The pattern description is not rigorously defined, and Python code is not supplied.
• No backtest or performance results are presented.

Tags

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