Stock Screening with Limit-Up Frequency, Moving Averages, and Fund Flow Strength

Summary

This post outlines an equity screening rule that ranks stocks by capital-flow strength, favors a short moving average above a longer one, and requires repeated limit-up sessions within a recent window. It presents turnover and volume ratio as possible ways to represent trading activity and perceived inflows. The moving-average comparison is used as a short- versus long-term trend filter, while limit-up frequency stands in for market attention and optimistic expectations.

The post provides qualitative reasoning rather than backtest results, definitions for calculating the flow measure, or evidence that the combined screen is profitable. It warns that flow measures and limit-up activity can be misleading or affected by manipulation, and that moving averages react to sentiment and short-term price movement. It suggests adding other indicators and validating selections through backtesting or simulated trading, but does not specify entry, exit, portfolio sizing, or risk controls.

Key ideas

• The screen combines capital-flow strength, a short-term moving average above a longer-term average, and frequent recent limit-up sessions.
• Turnover and volume ratio are offered as possible proxies for trading activity and capital interest.
• The post treats repeated limit-ups as a sign of attention, while acknowledging that the signal can be distorted.
• It recommends combining indicators and validating the screen with backtests or simulated trading.
• No performance evidence, execution rules, or portfolio sizing method is provided.

Tags

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