Stock Screening with RSI, Mid-Cap Value, Afternoon Inflows, and P/E

Summary

This stock-selection proposal combines RSI below 65, a circulating market value between 5 billion and 10 billion yuan, and positive large-order net inflow during the afternoon. Its final version adds a price-to-earnings ceiling of 40. The accompanying example calculates RSI and a price-change-weighted volume proxy for net inflow, screens for the stated capitalization and valuation limits, and chooses up to five candidates after sorting by prior close and excluding stocks near the stated daily price-change threshold.

The rationale is that RSI may filter out more overheated shares, capitalization constrains the universe, and afternoon inflows may indicate active buying. The document provides no backtest or evidence that these signals predict returns. It acknowledges that the screen omits industry and other fundamental factors, and that data quality and update frequency matter. Its simplified net-inflow calculation and selection steps may not fully capture actual large-order flows or execution constraints.

Key ideas

• The proposed screen combines RSI below 65, a specified circulating-market-value range, and positive afternoon large-order net inflow.
• The final selection rule also caps the price-to-earnings ratio at 40.
• The example calculates RSI and a price-change-weighted volume proxy, then selects up to five candidates.
• The document provides a rationale but no backtest or return evidence.
• It cautions that the conditions are limited and data accuracy can affect the screen.

Tags

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