Stock Market Picks – 3 Tips to Filter Out Dud Stocks and Save Time

Have you ever sat in front of your computer, wasting valuable time trying to find the best Stock Market Picks to invest your money in?

Are you the type of trader who feels confused with all the stock market information out there, that you have trouble deciding which stocks to invest your money in?

Or maybe you are afraid of wasting your time and hard earned money on non-performing stocks?

If you can relate to this, don’t worry. There are many stock market traders out there who used to be in the same situation. But since they discovered how to filter thousands of stocks down to a manageable watchlist of stocks, they can now zero in on their favourite stock setups in seconds.

3 great ways to filter Stocks

There are many different ways to filter stocks, the good news is you can tailor it to your own trading style. You can set these scans up on either free or paid versions of stock charting software and scanning tools.

Here are 3 great ways to filter stocks to get you started:

Filter By Price

You may be interested in only trading bluechip stocks within a certain price bracket, say between $5 and $50, avoiding those stocks within a low price range or high price range.

In this example you could easily setup a filter which only includes stocks greater than $5 (close > $5) and less than $50 (close < $50), which excludes all other stocks not in that particular price range.

Filter by Volume

Maybe you are only interested in trading stocks that trade with high liquidity, say greater than 20,000 share volume per day, for the purpose of options trading.

In this example you could easily setup a filter which only includes stocks with a daily volume greater than 20,000 (volume > 20,000), which will exclude all stocks with a trading volume of 20,000 and less.

Filter by a specific Setup Criteria or Events.

After filtering the available stocks by Price and Volume, you may want to filter by a specific setup event or criteria.

That criteria for setup could be as simple or detailed as you like, as long as you can be specific about the type of setup you are searching for, chances are you can create a filter to narrow down your Trade Picks

Some simple, yet popular trade setups may include Moving Average crossovers, Candlestick Patterns or Price closing above or below a Chart Indicator.

Once you get a taste for setting up filters and scans in your charting software, you can really set up some powerful scans and filters across multiple time frames, setups and indicators.

So there you have it, 3 great tips for filtering your stock market picks that, when you have mastered them, can power your way to stock market success.