Small-Cap Stock Screening with MACD, Money Flow, Profitability, and ROE

Summary

This Chinese-language post outlines an equity screening strategy combining a positive MACD condition, descending money-flow strength, a market-cap ceiling of 10 billion yuan, positive earnings measures, and ROE above 10. Its accompanying Python example further filters for positive valuation ratios and selected Shanghai-listed shares, sorts candidates by market capitalization, and uses a short-term money-flow comparison and turnover ranking. The MACD example checks for a recent bullish crossover, while entry selection also requires the 22-period indicators and earnings conditions described in the code.

The post warns that smaller-company focus can miss industry leaders, that industry and market conditions differ, and that signals may lag or fail. It suggests adding broader fundamental analysis and adapting filters by sector or market stage. It provides code and a rationale, but no backtest results, performance statistics, transaction-cost analysis, or evidence that the proposed refinements improve returns. Some prose, formula conditions, and Python filters do not align exactly, so implementation details should be checked before relying on the screen.

Key ideas

• The proposed screen combines MACD, money-flow strength, market capitalization, earnings, and ROE conditions.
• The Python example ranks eligible shares by market capitalization and turnover-related measures.
• The article identifies small-cap concentration, sector differences, and lagging signals as risks.
• No performance results are provided, and some stated rules differ from the code example.

Tags

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