Contents
Definition of a market screener:
A market screener is a computer program that sorts through all the stocks in your trading platform and returns a list containing stocks that meet your selection criteria.
Trading without a market screener:
To invest in the stock market, you can always follow the same stocks, whether you’re trading forex, equities or indices…. This process allows you to get to know the stock and trade it in different market phases.
This is what I do for my day trading and scalping.
Why use a market screener to invest in the stock market?
An alternative to the previous situation is to use a market screener to invest in the stock market, which will give you a selection of stocks in a specific situation.
You won’t need to know a specific stock, but you will need to know a specific trading context with our trade plan designed for this kind of situation.
This process will save you invaluable time, as it’s impossible to manually sort through the thousands of stocks that exist on a daily basis. Your market screener will do it for you in a matter of seconds, all you have to do is sort visually.
You can program your market screener to return stocks that will :
- Start a new trend
- A market leader
- A market rocket
- A stock market rush
- In a reversal situation
- Having a divergence between the price and a technical indicator.
- …
Which platform should I use?
Simply use your usual trading platform, but depending on the platform, this can be more complicated.
Personally, I like to use the prorealtime platform, which is easy and intuitive to use.
I only use prorealtime to create my screeners, for metatrader 4 it’s more complicated, either you create an expert advisor who returns opportunities to you on a chart window, where you just have to put the quotes in the same color as the screen, and remove the grid to have a clean and readable window.
Another solution for metatrader 4 is to create software that will run on your operating system, and communicate with your mt4 platform to access the values and make your selection.
Why use a market screener to invest in the stock market?
That’s it… you now know the usefulness and importance of using a market screener to invest in the stock market.
Do you use screeners to invest in the stock market?
Happy screeners!
