While developing this website, the author had conversations with multiple traders to understand their needs. What he realized is that there is no one single universal setup that everybody is interested to trade. Each trader has their own preference of setups, interest to details, and different ways of analysis and filters they like to play around with during the stock selection process.
Seems like one common goal of making money but with different scanning objectives, right? That's correct! Here's a summary of the most preferred setups, analysis of markets, and challenges of the stock selection process that surfaced in discussions and are broadly categorized in appropriate buckets.
Screening Objectives at a Glance:
| Objectives | Category |
|---|---|
| Simple horizontal line setup | Setups of interest |
| Setups with favourable risk reward ratio a.k.a tight setups | |
| Setups with accumulation in the base | |
| IPO setups | |
| Market health overview | Markets and sector analysis |
| Top down analysis: Identify leading sector and subsequently leading stock in that group | |
| Bottom up analysis: Given a stock, understand its sector strength and performance of peers in same sector | |
| Deciding which stocks to buy when there are multiple alerts in Watch list | Other useful tools |
| Basic filtering of stocks using RS |
If you are looking to achieve one or more objectives listed above you are at right place. It was also evident that all of these analysis are distributed across the platforms which made it challenging fo trader's to smoothly follow their process. Let's look at how to achieve each of the above objectives one by one through the website offerings in coming blogs.