Screening Mid-Cap Stocks with RSI and Large-Order Flow

Summary

This Chinese-language post proposes an equity selection rule using RSI below 65, circulating market value between 5 billion and 10 billion yuan, and a score based on price change multiplied by net very-large-order activity. It describes RSI as a short-term overbought or oversold indicator and the order-flow measure as an additional view of market activity. Formula and Python examples are included to illustrate filtering and ranking candidates.

The post does not provide a backtest or evidence that the combination produces reliable returns. It cautions that the screen omits company fundamentals, price changes can be noisy, and large-order flow does not necessarily reveal buying or selling pressure by itself. It suggests incorporating fundamentals, industry context, volume, technical patterns, and other flow measures. The examples also leave important implementation details unclear, including indicator calculation and data validity, so the rule is best understood as a screening proposal rather than a verified strategy.

Key ideas

• The proposed screen combines RSI below 65, a circulating-value range, and price change multiplied by net very-large-order activity.
• The post uses RSI as a short-term momentum condition and order flow as a market-activity input.
• It gives no backtest or performance evidence for the selection rule.
• Fundamental information and industry context are absent from the core screen.
• Large-order activity and short-term price changes can be ambiguous or noisy signals.

Tags

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