Stock Screening with Intraday Range, Turnover, and Rising Moving Averages

Summary

This note presents a Chinese stock screen based on three conditions: a daily high-low range threshold, prior-day trading activity above a stated amount, and a rising arrangement of moving averages. The technical rule orders averages from the shortest through the longest, with the five-day average above the ten-day, then the 20-, 30-, and 60-day averages. The article frames this combination as a way to identify stocks with larger price movement, market interest, and positive trend structure.

It warns that the screen ignores company fundamentals and that an upward moving average arrangement does not establish business quality or future returns. It suggests combining the trend filter with other technical measures or fundamental variables. The document supplies indicator and data examples but reports no backtest, portfolio construction, or performance evidence; its examples also vary in how they represent the activity and average conditions, so implementation details may require clarification.

Key ideas

• The screen combines price range, previous-day trading activity, and a rising moving average sequence.
• The moving averages are ordered from shorter to longer lookback periods.
• The article recommends considering other technical measures and fundamentals alongside the trend filter.
• The screen may select volatile or popular stocks without assessing company quality.
• No backtest results or trading performance are provided.

Tags

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