Screening Stocks with 3%–12% Turnover, Three Down Days, and a Weekly MA Cross

Summary

This Chinese stock-screening note combines a turnover-rate band of 3%–12%, three consecutive declining sessions, and a weekly moving-average condition involving the 30-week average. It presents the conditions as a way to find stocks with a longer-term upward trend despite several recent down days. The article supplies a brief technical explanation, a formula-style example, and a Python example that queries weekly stock data.

The author cautions that the screen largely ignores company fundamentals and that its simple conditions may produce poor selections. Suggested improvements include adding fundamental information or using machine-learning methods to refine the criteria. The code and prose leave implementation details unclear: the formula’s stated comparison appears internally inconsistent, and the Python snippet does not visibly calculate turnover or establish the described three-day candle condition and weekly crossover cleanly. No backtest or outcome evidence is included. The screen is therefore a basic technical-filter idea, not a demonstrated strategy, and its exact rules would need verification before evaluation.

Key ideas

• The proposed screen combines turnover between 3% and 12% with three consecutive down days.
• It also requires a weekly condition related to crossing the 30-week moving average.
• The author frames the weekly condition as a longer-term trend filter.
• The note acknowledges that fundamentals are omitted and simple filters may misclassify stocks.
• The formula and sample code contain ambiguities, and no performance test is reported.

Tags

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