Comments on Scanning

Lonetree

The Stockcharts.com scan engine is very powerful and time efficient. Now there are Alerts that further this engine. I'm primarily a swing trader and particularly like to get a swing that will continue for multiple legs in my swing direction.

Over the years I've noticed use of the scan engine:

Positively:
- Scans often generate more opportunities than there is money to apply to my trading. This forces you to better define your trading methods & plans.
- Excellent for using against a chart list of candidates you have screen for how you want to trade, the alert you when they begin moving.
- Often provides you an indication that things are changing. Leading stocks will give alerts more quickly than studying indexes or sectors. All are important,
but early shifts show up on leaders quickly.
- Scans are very useful in ferreting out very early pivots and the beginning of a new trend.

Negatively:
- Because the scans are so easily created, I have FAR too many of them. I've worked to trim the number of scans I actually use.
- It's easy to get stuck in the "entry hunt" and generate far too many chart lists. Candleglance charts help screen them rapidly but it's more import to focus.
Less is more when they are quality stocks.
- Scans help facilitate hunting for new methods. Reading articles or watching videos of new techniques sends you to the scan engine and often are easily
facilitated but again you've lost focus.

If I were starting new today, I'd focus very closely on how I will enter, manage, and exit a trade. Build a list of a relatively small number of candidate stocks, then
use my scans to support times when stocks are nearing time to enter and nearing time to exit. The saying "trading is simple, but not easy" so there is a need to keep it simple and focus on what is really producing results for you.

markd

I think you've nailed it.