Screening Shenzhen Stocks by RSI, Industry, and Valuation

Summary

This post describes a Chinese equity screen that combines a 14-period RSI below 65 with membership in the beverage and alcohol import-export industry, Shenzhen main-board listing, and specified price-to-earnings and price-to-book ranges. It presents the conditions as a way to combine a technical measure with industry and valuation filters, and includes formula and Python examples. The Python example also adds a market-cap threshold and excludes special-treatment stocks, conditions not included in the written headline strategy.

The post offers no backtest, comparison, or performance evidence. It cautions that market conditions can affect results and that valuation ratios vary with industry and cyclical factors. It suggests adding further technical and fundamental measures and tailoring valuation thresholds, but does not test those changes. The screen is therefore a set of candidate-selection rules rather than evidence of durable returns; it would need separate validation and risk controls before use.

Key ideas

• The screen combines RSI below 65 with an industry filter and price-to-earnings and price-to-book ranges.
• It targets Shenzhen main-board stocks in the beverage and alcohol import-export industry.
• The code example includes extra market-cap and special-treatment filters beyond the headline rules.
• The post provides no performance testing and warns that market regimes and industry cycles can affect the filters.
• It proposes adding indicators and company fundamentals, but does not evaluate those additions.

Tags

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