Screening Stocks with RSI, Seven Down Days, and a Minimum Market Size
Summary
This Chinese-language article proposes screening stocks whose RSI is below 65, whose prices have fallen for seven consecutive sessions, and whose company size exceeds 200 million. It presents the combination as a simple technical screen with a size filter, and includes a reference implementation that checks candle direction, RSI, and market capitalization. The article does not define a complete portfolio construction or execution process, nor does it report backtest results or other evidence that the conditions produce favorable returns.
The stated caveats are that the screen gives limited attention to company fundamentals and uses broad criteria that may select volatile stocks. The author recommends adding financial and industry context, considering further indicators, and refining the model for changing market conditions. Those ideas are suggestions, not tested enhancements. The seven-session decline and RSI threshold can identify a particular recent price pattern, but the document does not explain why that pattern should lead to a rebound or how a trader should manage losses if prices keep falling.
Key ideas
- The proposed screen requires RSI below 65 and seven consecutive down sessions.
- It adds a company-size threshold of 200 million as a filter.
- The article warns that technical-only selection and broad criteria can produce unstable or risky picks.
- It provides no performance evidence and does not specify trade management.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.