Saturday, March 1, 2014

How To Scan Stocks On The Basis Of Some Set Parameters

When there is a requirement of tradeable opportunities in various stocks
listed on a stock exchange the difficult question which arises in the mind
of the trader is that what should be the criteria to find stocks which could
be potential winners for them.

Entry into a stock can really become a headache if it is not executed at the
right time & the right price. Sometimes it may happen that a stock is ready for
a breakdown  but you may after listening a good news about that particular stock
go long in that stock just to find in few days that the stock has crashed 15 -20 %
from your entry price. The reason is simple that your timing of entry was not based
on a technical aspect and it went wrong drastically.

There are certain types of scans which may help a lot an investor or a trader to time
good entries in a stock. Many seasoned traders are good at making out these scans with
the help of their stock tracking skills based on certain parameters which they know are
going to help in decion making about which stock to choose to make an entry into.

Some Stock scans are meant for positional or swing trading and some scans are meant for
scanning stocks on an intraday basis. For both kind of scans we need to have access to
stock data.

For stock scans done on EOD [End Of Day] data helps in making decisions
for positional or swing trading.

Similarly scans done on Real Time Data of 1 min. , 5 min., 15 min., 30 min., hourly
time frames help in making entries in stocks for intraday trading and a shorter time frame.

There are certain softwares which aid in scanning stocks after giving input of parameters
for scanning stocks . Some famous softwares being Amibroker , Metastock etc. In these
softwares we can get both EOD & Real Time data and thus able to do both type of scans.

There are also some websites which help in scanning stocks both on daily time frames
and Intraday Time frames.

I am going to discuss some popular scans which are used by traders of all levels for
exploring good opportunities in making profitable entries into stocks. These are the
set of parameters on which the stocks are scanned and eliminated for making decisions
to make profitable entries.

Here we go with the most popular among investors.

Related Posts:

52 Week New High & 52 Week New Low
Price Crossing Above and Below 200 Day Moving Average

No comments:

Post a Comment

Required US Government Disclaimer & CTFC Rule 4.41

Futures trading contains substantial risk and is not suitable for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones financial security or lifestyle. Only consider risk capital that should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results. CTFC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS SUCH AS LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN. All trades, patterns, charts, systems, etc., discussed in this website or advertisement are for illustrative purposes only and not construed as specific advisory recommendations. All ideas and materials presented herein are for information and educational purposes only. No system or trading methodology has ever been developed that can guarantee profits or prevent losses. The testimonials and examples used herein are exceptional results which do not apply to average people and are not intended to represent or guarantee that anyone will achieve the same or similar results. Trades placed on the reliance of Trend Methods systems are taken at your own risk for your own account. This is not an offer to buy or sell futures interests.