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Technical Indicator Scans

Technical Indicator Scans are pre-defined (yet customizable) technical indicator-based algorithms that scan all NSE stocks for potential bullish and bearish signals, the output of which is then published in a grid format report.





With over 3,000 stock charts to look at every day on the NSE and BSE, professional analysts use sophisticated technical scanning programs to quickly find stocks with the best potential for profitable moves. ChartAlert® now makes many of those same scans available everyday on an end-of-day basis.

A Technical Indicator Scan is no more than a technical indicator-based algorithm or formula that is applied to a defined set of stocks to return a select list of stocks that meet some filter criteria associated with that algorithm or formula, wherein the filter criteria is a valid range of values for the results of that scan.



Let us look at the description of a simple Technical Indicator Scan: All S&P CNX Nifty stocks whose current 50-day moving average is anywhere above their current closing price.


In this example, the technical indicator-based algorithm or formula is the 50-day moving average formula, a defined set of stocks is the set of all stocks traded in the S&P CNX Nifty Group on the NSE, and the filter criteria is a value of the 50-day moving average above the given stock's current closing price.

To "execute" this scan, ChartAlert® must have at least 50 days' price and volume data for every stock listed in the S&P CNX Nifty Group. For every stock listed in this Group, it must add up the last 50 closing prices, divide the result by 50, and then compare that result to the current closing price. If the results are above that closing price, that particular stock is added to the results of the scan. If not, the stock is ignored. ChartAlert® then repeats the process for the next stock in that Group.

The starting point  --  after ChartAlert® has screened stocks on the basis of select Technical Indicator-based algorithms  --  is the Technical Indicator Scans Summary Report, wherein all stocks that have satisfied the scan criteria are displayed. Please refer the image shown below, where the shortlisted stocks in the Technical Indicator Scans Summary Report have been neatly organized by the groups they belong to.





From the Summary Report (shown above), one can further drill-down to individual Technical Indicator Scan Reports. For example, one can drill-down to the "Stocks in a New Uptrend (DMI-)" Report to lookup the finer details of all the 52 stocks that have satisfied the criteria of Directional Movement Index.

All individual Technical Indicator Scan Reports (grid format) can be manipulated extensively, limited only by the end-user's requirements. For instance, the report can be sorted by any column, the splitter can be adjusted to freeze columns while scrolling the report horizontally, any column of the report can be dynamically re-positioned, etc.

The Technical Indicator Scan Reports also come with a set of Technical Events (or Parameters) which can be customized by the end-user to suit his/her needs. Special controls have also been provided in Technical Indicator Scan Reports wherein stocks could be filtered by Indices, and/or by industry classification or Sectors. Other special controls include the Sort function, and the Advanced Filter and Advanced Sort commands.

NSE stocks can now be screened (at end-of-day) for candlesticks patterns based on the in-built candlesticks pattern detection algorithms, the output of which is published in a grid format report. This grid report is extremely customizable and can be manipulated extensively.

At the moment, ChartAlert® can detect 27 Bullish Reversal, 27 Bearish Reversal, 7 Bullish Continuation and 9 Bearish Continuation candlestick patterns (see image below).





You can select the candlesticks patterns and the group of stocks you want screened. In the image above, all Reversal and Continuation, and bullish and bearish candlesticks patterns have been selected, and the "NSE All" group has been selected.

Once ChartAlert® has finished screening stocks based on the selected candlesticks patterns, it will open the Candlestick Scans Summary Report and display all the stocks that have met the scan criteria. The short-listed stocks in the Candlestick Scans Summary Report are always neatly organized by the groups they belong to.





From the Summary Report (image above), one can further drill-down to individual Candlestick Scan Reports.

For example, one can drill-down to (say) the "Bullish Engulfing Line" Report to lookup the details of all the 41 stocks that have met the criteria of Bullish Engulfing Line (see image below).

Note:  A Bullish Engulfing Line is a Bullish Reversal Candlestick Pattern.





All individual Candlestick Scan Reports can be manipulated extensively. For instance, the report can be sorted by any column, the splitter can be adjusted to freeze columns while scrolling the report horizontally, a column of the report can be dynamically re-positioned, etc.

Select NSE stocks can now be screened (at end-of-day) for potential buy and sell signals based on the in-built and pre-defined Trading System algorithms, the output of which is published in a grid format report. This grid report is extremely customizable and can be manipulated extensively.

To run Quick or Detailed Trading System Scans, open the Trading System Scan dialog box through the Menu Bar or the Toolbar as shown below.





You can select the pre-defined Trading Systems and the group of stocks you want screened. In the image below, all Short-Term and Medium-Term Trading System scans, and the "All NSE stocks" group have been selected.





The basic Trading System Scan report (image below) can be manipulated extensively. For instance, the report can be sorted by any column, the splitter can be adjusted to freeze columns while scrolling the report horizontally, a column of the report can be dynamically re-positioned, etc.





Some examples have been displayed in the images below.