Stock Screening with RSI, Large-Order Flow, and Bid-Ask Queue Imbalance

Summary

This proposed equity screen combines an RSI ceiling below 65 with a positive price-change and large-order net-flow condition, plus greater displayed bid quantity than ask quantity at the best quotes. It presents the combination as a way to bring technical momentum and order-flow observations into a candidate selection process. An accompanying example also applies non-ST, turnover, valuation, and data-field filters, although the code and prose do not fully specify the same conditions.

The author notes that technical and flow measures do not capture fundamentals, data may be incomplete or inaccurate, and a larger best bid queue may reflect only temporary interest rather than durable buying pressure. Fundamental measures such as earnings and cash flow, along with market-trend context and additional indicators, are suggested as possible refinements. The article supplies no backtest or performance evidence, so the screen remains a hypothesis requiring careful validation.

Key ideas

• The screen combines an RSI threshold with price-change and large-order net-flow information.
• It also requires displayed best-bid quantity to exceed best-ask quantity.
• Queue imbalance and flow data may be temporary or unreliable and do not replace fundamental analysis.
• The proposal includes no evidence of strategy performance and needs validation.

Tags

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