Stock Screening with Turnover, Three Down Days, and Limit-Up Exclusion

Summary

This Chinese stock-screening example selects shares with turnover between 3% and 12%, three consecutive declining sessions, and no limit-up event on the previous day. It presents the rule as a way to find actively traded stocks after a short decline while avoiding names that may be due for a pullback after a limit-up move.

The article includes illustrative indicator logic and Python code, but the implementations do not align perfectly with the stated conditions: the indicator example compares moving averages, while the Python checks price fields and does not visibly calculate the stated turnover range. No performance results or backtest evidence are supplied. The author cautions that the narrow technical screen can still select unsuitable stocks and may exclude stocks that continue rising after a limit-up session. Suggested extensions include adding capital-flow, price-trend, or company financial measures. Treat this as a screening idea requiring careful implementation and validation, rather than a demonstrated strategy.

Key ideas

• The proposed screen combines turnover between 3% and 12% with three consecutive declining sessions.
• It excludes stocks that recorded a limit-up event on the prior day.
• The article offers sample indicator and Python implementations, but their conditions do not fully match the stated rule.
• The screen omits fundamental analysis and may miss stocks that keep rising after a limit-up day.

Tags

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