Stock Screening with RSI, Super-Order Flow, and a Long-Term Trend Filter

Summary

This Chinese-language post describes an equity screening rule that combines a relative strength index below 65, the product of percentage price change and large-order net inflow, and a price above its 250-day moving average. The stated rationale is to combine a momentum or trend condition with a measure of buying pressure, while avoiding stocks with a high RSI reading. The post also mentions filtering for positive valuation ratios and turnover in its Python example, then taking up to 50 names.

The article offers a conceptual explanation and sample screening logic, but no backtest, return data, benchmark, or evidence that the filters identify outperformers. It acknowledges that indicators can lag and that a long-term moving-average condition may exclude fast-growing stocks before a trend forms. Suggested refinements include adding other technical indicators, changing thresholds or selection count, and incorporating fundamentals. The rule is a screening proposal, not a complete trading system: entry timing, exits, position sizing, and transaction costs are not established.

Key ideas

• The screen combines an RSI ceiling, price change multiplied by large-order net inflow, and a price above the 250-day moving average.
• The proposed rationale blends technical trend information with a proxy for capital flows.
• The sample logic includes positive valuation ratios and turnover conditions in addition to the headline filters.
• The author notes lagging indicators and the possibility of excluding stocks before a trend develops.
• No backtest or performance evidence is supplied, and the selection rule does not specify portfolio execution or exits.

Tags

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