Stock Screen Combining RSI, Three Bearish Candles, and Turnover

Summary

This Chinese-language post describes an equity screening rule using RSI below 65, a three-candle pattern described as three consecutive down candles, and prior-day turnover above 8%. It frames RSI and the candle sequence as signs of weakness, while high turnover may signal changing investor activity or unsettled price action. Formula and Python examples are included as implementation references.

The post gives no backtest, returns, or comparison showing that the conditions predict future performance. It warns that the screen omits broad market direction, valuation, and company financials, and that turnover can be noisy. There are also apparent inconsistencies in the examples: the candle comparisons shown require prior closes above opens, and the code calculates price changes rather than a standard turnover ratio. These discrepancies mean the supplied implementations may not match the stated screening rule and should be checked before use.

Key ideas

• The proposed screen combines RSI below 65 with a three-candle pattern and prior-day turnover above 8%.
• The post interprets the RSI and candle conditions as signs of weakness and elevated turnover as potentially unstable activity.
• It identifies missing market, valuation, and financial-quality filters as limitations.
• The code examples appear inconsistent with the stated bearish-candle and turnover conditions.
• The document provides no performance evidence for the screen.

Tags

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