I mentioned in a previous post that I used the FinViz screener on a daily basis and I wanted to show you a basic screen that always provides plenty of good swing trading ideas.
This is actually a very simple stock screen, but there’s one special filter I use that really narrows things down.
Here’s what the filter settings for this screen look like.
There are a few things to notice about this screen.
First, it’s only looking for stocks that are trading above the 50-day and 200-day simple moving averages. This means these stocks are in primary uptrends.
Next, I added a price and volume filter so that it’s only showing stocks over $10 that trade more than 300k average daily volume. To me, anything that trades under 300k is a “thin” stock and it’s usually a good idea to have a cut-off somewhere.
You’ll also notice that I have the results sorted by “today’s change” which means that once the market gets going (or after the close) the strongest stocks from the screen show up first.
I like the Candlestick Chart view because it lets me look at a bunch of stocks at the same time. I’m constantly eyeballing these charts for patterns and what I see as constructive setups. Remember – all the stocks are in primary uptrends so that’s a good start.
Here’s the real key to the screen…
Notice I have “Volatility – Week over 3%” as one of the filters. To me this is one of the most important parts of the screen because it returns stocks that have a high Historical Volatility – which means that they actually move.
Stocks that have a high Historical Volatility make for much better short-term trading stocks because they can make significant moves in a short amount of time – which is what short-term traders are looking for.
If you remove the Volatility filter you get way too many results and generally speaking the screen I’ve outlined returns somewhere between 150 and 250 stocks.
Here’s a direct link to the screen that you can bookmark:
You’ll notice one other thing. I have “stocks only” selected so ETF’s don’t show up.
The cool thing about this screen is that you can use it as a starting point and tinker around, maybe filter it even further. You could filter these results for only companies that are profitable. Or you could bump up the Average Daily Volume to 500k.
I honestly think FinViz is the best screener on the Internet for stocks and even if you just check it at the end of the day, it should provide some good potential trading ideas.