Screening Main-Board Stocks by RSI, Daily Gains, and Capital Strength

Summary

This stock screen selects non-STAR-market main-board equities with a 14-period RSI below 65 and a daily gain above 1%, then ranks candidates by capital strength, defined in the note as circulating market value divided by turnover. The proposed rationale is to find stocks showing a positive short-term move without an especially high RSI, with the ranking intended to reflect trading activity relative to market value.

The note provides screening logic and code references, but no historical test or performance evidence. It cautions that the approach relies heavily on short-term price behavior and technical indicators, can encourage buying after a rise, and does not assess company fundamentals. It suggests adding valuation, earnings-growth, cash-flow, and volatility measures, while emphasizing risk controls. The document does not specify rules for position sizing, exits, or how to test the strategy across market regimes.

Key ideas

• Candidates must have RSI below 65 and a daily gain above 1%.

Tags

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