Screening Shanghai Stocks by RSI and Profit Growth
Summary
This Chinese-language strategy note describes a screen for Shanghai-listed A shares whose 14-period RSI is below 65 and whose year-over-year growth in net profit attributable to parent-company shareholders is between 20% and 100%. Its example also requires positive net profit, a listing code beginning with 60, an opening price above the 10-day moving average, and ranks candidates by free-float shares. These extra conditions make the implementation more specific than the brief headline description.
The note frames the RSI filter as leaving room for recovery and the earnings-growth filter as selecting profitable growing companies. It provides a SQL-style query and a Python sketch, but no backtest, performance results, or evidence that the screen predicts returns. It cautions that the rules omit factors such as industry outlook and capital structure, and that market conditions or policy changes may affect results. Suggested additions include other technical and valuation measures and volume-price analysis; these remain proposals rather than tested improvements.
Key ideas
- The core screen combines RSI below 65 with net profit growth above 20% and up to 100%.\nThe example implementation additionally requires positive net profit, a Shanghai code beginning with 60, and price above its 10-day moving average.\nThe stated rationale is to combine a technical condition with profitable earnings growth.\nThe note provides sample query and Python logic but reports no performance testing.\nIndustry prospects, capital structure, broad market conditions, and policy shifts are named as omitted risks.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.