How to Find Winning Trades Daily
Trade Hero is your all-in-one platform for discovering high-probability trades and investing opportunities across the stock market. Our app delivers real-time options trade alerts during pre-market and after-hours, helping you spot opportunities before the opening bell. Inside our Trading & Investing chat rooms, you’ll find daily watchlists, market insights, and the best dips to keep on watch. Beyond trade alerts, we provide in-depth investing reports on companies with strong long-term growth potential, helping you make informed decisions whether you're trading short-term or investing for the future.
How do we find these trades? Screeners are one of the most powerful tools for traders and investors. They help filter thousands of stocks, options, and ETFs based on specific criteria, allowing us to find high-probability trades efficiently. In this mini-course, we’ll explore how to use screeners to discover the best trading and investing opportunities.
1.1 Why Use a Screener?
Without a screener, traders would have to manually analyze hundreds of stocks daily. Screeners automate this process, letting you quickly identify assets that fit your strategy. They are especially useful for:
- Finding **high-momentum stocks** for short-term trades
- Identifying **undervalued stocks** for long-term investing
- Spotting **unusual options activity** for big market moves
- Filtering ETFs based on **sector strength and performance**
1.2 How to Use Screeners for Stocks
Stock screeners let you filter stocks based on metrics like **market cap, volume, technical indicators, earnings growth, and volatility.** Popular stock screening platforms include:
- Trade Hero: Our app provides custom screeners tailored to various trading strategies and long-term investment criteria.
- Barchart: Offers advanced technical and fundamental stock screens for customized and pre-made templates like AI, Dividends, Energy & Candlestick Patterns.
- Finviz: Great for screening stocks based on valuation, growth, and momentum factors.
1.3 How to Use Screeners for Options Trading
Options traders use screeners to identify high-probability setups based on volume, open interest, and unusual options activity. Some of the best ways to use an options screener include:
- Filtering for **high IV (Implied Volatility)** stocks for premium selling strategies.
- Spotting **unusual call or put volume** to track smart money moves.
- Looking for **deep in-the-money (ITM) options** for higher delta trades.
Example: Using Barchart’s Unusual Options Activity Screener
Barchart’s options screener helps traders find stocks with unusual activity in the options market. If a stock has high call volume, it may indicate bullish sentiment.
1.4 ETF Screening Strategies
ETFs allow traders to diversify while targeting specific sectors. When screening for ETFs, consider:
- **Sector-based ETFs** (e.g., Tech, Healthcare, Energy) to follow macro trends.
- **Dividend ETFs** for passive income investing.
- **Leveraged ETFs** for high-risk, high-reward trading.
1.5 Setting Up Your First Screener
Follow these steps to set up your first stock screener:
- Choose your screener (Barchart, Finviz).
- Set criteria (e.g., RSI below 30-40, high volume, strong earnings growth, open interest, etc.).
- Filter results and analyze charts for trade confirmation.
- Discover trades based on your screener results.
Key Takeaway: Screeners allow traders and investors to cut through the noise and find **high-quality trading and investment opportunities** with minimal effort.
Next Steps
Now that you understand the power of screeners, it's time to put them into action! Start by scrolling through the Trade Alerts section to find high-probability options trades, including pre-market and after-hours alerts. Then, head over to the Trading & Investing chats for daily watchlists, market updates, and dip-buying opportunities shared by experienced traders. Finally, don’t forget to check out our Investing Picks, where you'll find detailed reports and analysis on long-term growth opportunities to help you build a strong portfolio.
The key to success is refining your strategy—so experiment with different screener settings, track your results, and stay ahead of the market! 🚀