Stock Screening with Rising Lows, Price Range, and Convertible Bonds

Summary

The document describes a stock screen combining an amplitude threshold, rising bottoms, and a requirement for outstanding convertible-bond balance. It presents the combination as a technical and company-related filter, then notes that bond issuance does not guarantee business quality and that a narrow screen may exclude promising stocks. It suggests adding technical indicators such as Bollinger Bands or MACD, fundamental measures such as PEG or ROE, and broader economic or policy context.

The post includes sample formulas for a Chinese trading platform and partial Python-like code, along with instructions for placing a selection statement into a backtest template. The examples are illustrative rather than validated: the amplitude condition differs between the formula and Python sample, and the code does not define its bottom calculation. No backtest results or evidence of predictive value are supplied, so the screen’s performance and robustness remain unknown.

Key ideas

• The proposed screen combines price amplitude, rising bottoms, and outstanding convertible bonds.
• The author warns that convertible-bond status is not proof of strong company prospects.
• Additional technical, fundamental, and macroeconomic inputs are suggested.
• The platform formula and Python example are references, not a demonstrated validated implementation.
• No performance results are provided for the screening rules.

Tags

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