Stock Screening with RSI, Money Flow, and Past Performance

Summary

This document outlines a stock screen that selects equities with RSI below 65, ranks or filters them by money-flow strength, and considers performance during 2021. Its example code uses a 14-period RSI, a 20-period Chaikin Money Flow measure, and excludes stocks whose summed price changes during 2021 are negative. The text thus combines a momentum-related indicator, a flow measure, and a historical performance filter.

No backtest results, benchmark comparisons, or evidence of predictive value are supplied. The article itself notes risks including overfitting, sample bias, and dependence on a limited set of indicators. It suggests adding market regime, sector, and price-volume information, but gives no test of those modifications. The description also leaves the meaning of the 2021 qualification and the “descending” money-flow ranking unclear, so the screen should be treated as a rough selection example rather than a fully specified strategy.

Key ideas

• The screen combines RSI below 65 with a money-flow condition and a filter based on 2021 performance.
• The code example uses a 14-period RSI and a 20-period Chaikin Money Flow calculation.
• The document supplies no backtest or evidence that the filters predict future returns.
• The author identifies overfitting, sample bias, and limited market information as risks.
• The historical-performance condition and money-flow ranking are not fully specified.

Tags

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