Rise & Fall Scanner

By November 10, 2016 Trading 3 Comments
Rise & Fall Scanner

If there was a magic wand, identifying profit-making stocks would be easy-peasy. However, since stock market investors like you and I believe in practical hard core data rather than such ludicrous ideas, selecting good stocks is a much more difficult feat.

Before the advent of online trading tools, investors had to pour through a huge list of stocks in order to identify profitable ones. It included reading thousands of pages of stock data. This was a tedious, laborious, as well as time-consuming task. But this chore is now made easier – and as simple as doing a single click – with the help of market scanners that are available with the pioneers in smart trading like the Sine app.

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Sine is an intuitively designed smart trading app from TradeSmart Online with a plethora of features and capabilities. Among them, Market Scanners is an amazingly useful tool to have in a Stock Trader’s arsenal.

There are many types of Market Scanners available, each catering to a specific set of scan criteria of stocks. Among them, the key market scans are –

  1. Rise and Fall
  2. Volume Shocker
  3. Strong and Weak
  4. Circuit Breakers
  5. High and Low Breaker
  6. Spreads
  7. Open = High or Low and
  8. Resistance and Support

Also Read : High & Low Breaker Scanner

Rise and Fall Scanner

The Rise and Fall Scanner provides the list of stocks whose volume had increased consistently in the previous three days (i.e., previous three trading sessions). The overall short-term trend of the stock can be assessed using this Rise and Fall scanner based on the volume and price movement.

  • If the volume of stock increases and the price also moves upwards in the previous three days, it implies that the number of buyers is increasing and causing the surge in volume. The higher demand for the stock would potentially drive the price higher in next trading sessions.
  • If the volume of stock increases and the price moves downwards in the previous three days, it implies that the sellers are increasing and causing the surge in volume. The strength of the sellers would potentially drive the price lower in next trading sessions.

The table below shows the scan result

Volume Movements of three days Price Movement of three days     Result
 a  a  

Bullish

 b  b  

Bearish

Calculations

The 3-day volume % change and 3-day price % change are used for identifying the stocks with

  • ‘Volume up – Price up’ condition, as well as
  • ‘Volume up – Price down’ condition

Following are the calculations. The current day is denoted as N.

Average volume of 3 days = Average volume of (N-3, N-2, and N-1) days

3 day volume % change (V) = (average of N-1,N-2,N-3)-(volume of N-4) / Volume of N-4 %

3 day price % change (P) = (Price on N-1) – (Price on N-4) / Price of N-4 %

Volume up Price up condition is fulfilled when the values of both V and P are positive.

Volume up Price down condition is fulfilled when the values of V is positive and P is negative.

Rise and Fall Scanner increases the odds of identifying stocks that would potentially perform well or decrease drastically.

Trading Account

How to get the list of stocks of ‘Rise and Fall’ scanner criteria: Steps

Step #1: Login to the Sine App using the user id and password. The Dashboard page would be displayed as shown in the figure.

Step #2: Click on the dropdown icon at the left side of Dashboard. The drop-down menu would be displayed as shown in the figure.

rise-and-fall-steps-screenshot-2

Step #3: Click on ‘Analytics’ from the menu. The Analytics page would be displayed as shown in the figure.

Step #4: Click on ‘Rise and Fall’ scan criteria. The results of the criteria would be displayed as shown in the figure below. Note that the result list is bifurcated into two tabs – volume up price up and volume up price down.

risenfall_3-1

Analyzing Scanner Results: Filters that can be applied to the Scanner Results list

At times, the scanner would yield a large list of stock as a result. This would necessitate the filtering of stocks so that the count of stocks can be reduced.

There are mainly two ways in which the results can be filtered. They are –

  • Based on the market – NSE, MCX or BSE
  • Based on Sectors like – Nifty 50, FMCG, Metal, IT, Media, Nifty Bank etc.

risenfall_5-1Also Read :  Volume Shocker Scanner.
On selecting the required criteria, only the stocks of the specifically filtered criteria would be displayed. This would cut down the list of stocks and make the analysis of stocks easier.

Functions that can be performed on the Scan Results list

The resultant scan results can also be sliced and diced depending on the various criteria.

For doing that, click on any of the listed stocks. Then the associated functions would be displayed below it. Some of the functions that can be performed are:

  • Add to Watchlist
  • Snap Quote
  • Place order
  • View Chart – includes indicators like Bollinger Bands. MACD, moving averages, RSI etc.

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On clicking on each of those symbols, the corresponding function is executed. The figure below shows the various functions.


abc9

 

 

risenfall_10

 Conclusion

Picking out good stocks from amongst the thousands of stocks available is not an easy task. But with the right tool, any task can be made easy. The Rise and Fall Scanner is exceedingly helpful in identifying stocks that have a high probability of increase or decrease in price in the next few days. Trading such stocks would thus guarantee a higher amount of profits as well, saving both time as well as money.

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