Stock Screening by Turnover, Rising KDJ K, and Capital-Flow Rank

Summary

This document outlines an equity screen that keeps stocks with turnover between 3% and 12%, a rising KDJ K value, and improving capital-flow strength rank. It also excludes a specified board category in the formula and example code. The intended ordering favors stocks with stronger capital-flow rankings, while the KDJ condition acts as a short-term price momentum filter.

The author presents the combination as a way to consider trading activity, price movement, and money-flow ranking. The accompanying code uses recent observations to check turnover, KDJ movement, industry type, and rank movement. No backtest, return figures, or comparison with alternative screens is given, and the code's turnover averaging differs slightly from the final rule's stated range. The document warns that rank alone may oversimplify stock quality and cannot distinguish persistent inflows from buying at elevated prices. It suggests considering flow trends, industry differences, market value, and company performance.

Key ideas

• The screen combines turnover between 3% and 12% with a rising KDJ K value.
• It ranks qualifying stocks by capital-flow strength and includes an industry-category exclusion.
• The author cautions that ranking may oversimplify value and may not identify late buying.
• No backtest or empirical performance evidence is provided.

Tags

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