Screening Main-Board Stocks by RSI, Daily Gains, and Convertible Bonds

Summary

This Chinese equity screen combines an RSI reading below 65, a daily gain above 1%, main-board membership, and an outstanding convertible bond with a nonempty short name. The article frames the RSI condition as a way to find stocks that may rebound and the daily gain as a sign of near-term strength. Its sample selection logic also includes additional price-action conditions, so the implementation is more restrictive than the headline description.

The document supplies indicator and Python examples, but no backtest results or evidence that the filters generate excess returns. It cautions that the conditions are narrow and do not adequately assess company fundamentals, liquidity, or convertible-bond risk. It suggests combining technical and financial measures and applying risk controls, while leaving the appropriate holding period, exits, and empirical validation unspecified.

Key ideas

• The screen combines RSI below 65 with a daily gain above 1%.
• It limits candidates to main-board stocks linked to outstanding convertible bonds.
• The sample code includes additional intraday or price-action filters beyond the headline rules.
• No performance evidence is reported, and fundamental and liquidity risks remain.

Tags

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