Screening Metaverse Stocks by Auction Turnover and RSI

Summary

This post proposes screening Chinese stocks in the metaverse industry by selecting the five highest-ranked stocks on the day’s opening auction amount, then retaining those with a 14-period RSI below 65. It presents auction activity as a sign of relative market interest and the RSI threshold as a way to avoid selecting stocks already considered too strong, with the hope of finding potential for subsequent gains. The article includes formula and Python examples intended to express these filters.

The post itself gives no performance data or backtest results. It warns that selecting only a few stocks can produce arbitrary outcomes, that selected shares may remain weak in the short term, and that RSI summarizes past price behavior rather than forecasting future prices. It suggests expanding the sample and adding other technical indicators or fundamental information. The description does not specify trade timing, exits, position sizing, or how auction rankings are computed, so it is a screening proposal rather than a complete tested strategy.

Key ideas

• The screen limits its universe to stocks classified in the metaverse industry.
• It ranks stocks by opening auction amount and keeps the top five before applying an RSI filter.
• The RSI condition is below 65 using a 14-period calculation.
• The post acknowledges small-sample risk and RSI’s dependence on historical prices.
• It proposes adding other indicators and fundamental analysis, but reports no test results.

Tags

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