Stock Screening with RSI, Quote Volume Imbalance, and Three Down Closes

Summary

This Chinese-language post describes a stock screen combining a 14-period RSI below 65, displayed bid-side volume greater than ask-side volume, and three consecutive daily declines in closing price. It presents the rules as a way to identify stocks in a falling trend, while also suggesting a countertrend opportunity. The post includes example formula and Python-style implementations of the screen.

No backtest, performance data, or evidence is supplied to show that the conditions predict returns. The explanation also describes the order-book condition as strong selling pressure, although bid volume exceeding ask volume may not straightforwardly support that interpretation. The author notes that the screen omits company fundamentals and broader market conditions, and suggests adding other indicators and fundamental analysis. The code examples and stated logic should be checked carefully before use, including whether the rolling-low conditions actually represent three consecutive lower closes and whether the volume fields are available and defined consistently.

Key ideas

• The screen requires a 14-period RSI below 65 and bid-side volume greater than ask-side volume.
• It also seeks stocks with three consecutive daily declines in closing price.
• The post frames the rules as a technical screen that may identify countertrend opportunities during a decline.
• It provides formula and Python-style examples but no evidence of historical or live performance.
• The author cautions that fundamentals and overall market conditions are not included.

Tags

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