Scanning Software

Submitted by Jim Thesiger on 31 October, 2010 - 14:48

If you want to identify the potential trading opportunities through technical or fundamental analysis, then you can always try out the Stock Scanning Software to get the job done. In today’s world, scanning software is seen as an important tool for the technical traders.

The Basic Function of a Stock Scanning Software

The basic function of this particular type of software is to scan all the possible stocks of the market on the basis of the indicator that you prefer, which might include CCT’s, OBV, Price Oscillator, RSI, Stochastic and Ultimate. Once the scanning is complete, it is now only a matter of charting those stocks and then you can decide if there is any trade available in the market that you can go for.

Who Should Use This Software?

The Scanning Software are considered quite useful for the traders who needs to improve their technical analyst skills by performing back-tests for their preferred indicators against the past market data in order to get to a past performance. However, it is important to keep in mind that it is not possible to guarantee the future based on the past. So don’t get too optimistic or pessimistic about the future simply based on the historical data.

Choosing a Scanning Software- The Options that you have

There are a number of stock scanning software available in the market that comes with a wide variety of options. The type of scanner that you will need for assistance depends on the market type where you are going to use it as well as the budget for the software.

You can first try out a rather simple scanning software that you can download from a reliable website for free while you need to spend some money for the more complex software with more options which will enable you to perform market analysis and compare trends. The price of the more advanced level software ranges from “considerably cheap” to “highly expensive”.

When Should you go for an Advanced Level Software?

It is important to keep in mind that using an advanced level software requires a certain level of expertise which is only possible to achieve through gaining more knowledge and experience about the market, trades and the software itself. This is why it may not be a good idea to go for an advanced Stock Scanning Software right at the beginning when you are a fresher in the trading world. Just take some time, gather more knowledge, try out some of the simpler scanning programs and then after a certain period of time you can go for the more advanced level scanning tools.

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