Technical Zone

This Relative Strength Index (RSI) stock scan allows investors to search for specific stocks that have recently had the RSI technical indicator break through various different oversold and overbought levels. The RSI technical indicator compares the extent of a stock's recent gains to the extent of its recent losses and converts that information into a number that ranges from 0 - 100. Technical stock traders suggested using 70 and 30 as the overbought and oversold levels respectively. The 50 level is considered the mid-way point and readings below 50 generally are bearish while readings above 50 are generally seen as bullish for a particular stock. Outside of the ability to pick which RSI filter you prefer, investors are also able to filter results by exchange, price and volume.

More information on RSI:

The RSI technical indicator compares the extent of a stock's recent gains to the extent of its recent losses and converts that information into a number that ranges from 0 - 100. The RSI takes a single parameter, the number of time periods to use in the calculation. Most traders, including the RSI calculations founder, J. Welles Wilder, recommend using 14 periods as a standard parameter for optimal calculations.

Wilder suggested using 70 and 30 as the overbought and oversold levels respectively. In general, if the RSI rises above 30 on the scale, it is considered a bullish signal for the stock in question. On the other hand, if the RSI falls below 70 on the scale, it is considered a bearish signal. Some traders spot the long-term trend and then use extreme readings as possible entry points. If the long-term trend is bullish, then oversold readings could signal potential entry levels.

Buy and sell signals can also be found by looking for positive and negative divergences between the RSI and the stock in question. As an example, investors could consider a falling stock whose RSI rises from a low point of (for example) 20 back up to say, 55. Because of how the RSI is constructed, the underlying stock will often reverse its direction shortly after such a divergence. As in the above example, divergences that happen after an overbought or oversold reading frequently provide more reliable signals.

The centerline for the RSI is 50 on the scale. Readings above and below can give the indicator a bullish or bearish angle. Overall, a reading above 50 indicates that average gains are higher than average losses and a reading under 50 indicates that losses are higher than gains. Traders in general look for a move above 50 to confirm a bullish signal or a move below 50 to confirm a bearish signal.

Any questions can be directed to [email protected]. We hope you enjoy this scan and also be sure to take a look at all the other AllPennyStocks.com Pro Scans available daily to AllPennyStocks.com Pro members and one day a week to regular AllPennyStocks.com visitors.

This Relative Strength Index (RSI) stock scan allows investors to search for specific stocks that have recently had the RSI technical indicator break through various different oversold and overbought levels. The RSI technical indicator compares the extent of a stock's recent gains to the extent of its recent losses and converts that information into a number that ranges from 0 - 100. Technical stock traders suggested using 70 and 30 as the overbought and oversold levels respectively. The 50 level is considered the mid-way point and readings below 50 generally are bearish while readings above 50 are generally seen as bullish for a particular stock. Outside of the ability to pick which RSI filter you prefer, investors are also able to filter results by exchange, price and volume.

More information on RSI:

The RSI technical indicator compares the extent of a stock's recent gains to the extent of its recent losses and converts that information into a number that ranges from 0 - 100. The RSI takes a single parameter, the number of time periods to use in the calculation. Most traders, including the RSI calculations founder, J. Welles Wilder, recommend using 14 periods as a standard parameter for optimal calculations.

Wilder suggested using 70 and 30 as the overbought and oversold levels respectively. In general, if the RSI rises above 30 on the scale, it is considered a bullish signal for the stock in question. On the other hand, if the RSI falls below 70 on the scale, it is considered a bearish signal. Some traders spot the long-term trend and then use extreme readings as possible entry points. If the long-term trend is bullish, then oversold readings could signal potential entry levels.

Buy and sell signals can also be found by looking for positive and negative divergences between the RSI and the stock in question. As an example, investors could consider a falling stock whose RSI rises from a low point of (for example) 20 back up to say, 55. Because of how the RSI is constructed, the underlying stock will often reverse its direction shortly after such a divergence. As in the above example, divergences that happen after an overbought or oversold reading frequently provide more reliable signals.

The centerline for the RSI is 50 on the scale. Readings above and below can give the indicator a bullish or bearish angle. Overall, a reading above 50 indicates that average gains are higher than average losses and a reading under 50 indicates that losses are higher than gains. Traders in general look for a move above 50 to confirm a bullish signal or a move below 50 to confirm a bearish signal.

Any questions can be directed to [email protected]. We hope you enjoy this scan and also be sure to take a look at all the other AllPennyStocks.com Pro Scans available daily to AllPennyStocks.com Pro members and one day a week to regular AllPennyStocks.com visitors.

This Moving Average Convergence-Divergence (MACD) stock scan allows investors to search for specific stocks that have recently had a signal line and/or centerline crossover, the two most widely followed MACD crossovers. The Moving Average Convergence-Divergence (MACD) indicator is one of the simplest and most effective momentum indicators around. The MACD turns two trend-following indicators, moving averages, into a momentum oscillator by subtracting the longer moving average from the shorter moving average. As a result, the MACD offers the best of both worlds: trend following and momentum. With this scan, investors will have the ability to combine both types of crossovers and see results immediately. Outside of the ability to combine searches by different types of MACD crossovers, investors will also have the ability to filter results by exchange, price and volume.

More information on MACD:

Developed by Gerald Appel in the late seventies, the Moving Average Convergence-Divergence (MACD) indicator is one of the simplest and most effective momentum indicators around. The MACD turns two trend-following indicators, moving averages, into a momentum oscillator by subtracting the longer moving average from the shorter moving average. As a result, the MACD offers the best of both worlds: trend following and momentum. The MACD fluctuates above and below the zero line as the moving averages converge, cross and diverge. Investors can look for signal line crossovers, centerline crossovers and divergences to generate specific signals. Because the MACD is unbounded, it’s not particularly useful for identifying overbought and oversold levels.

The MACD Line is the 12-day Exponential Moving Average (EMA) less the 26-day EMA. Closing prices are used for these moving averages. A 9-day EMA of the MACD Line is plotted with the indicator to act as a signal line and identify turns. The MACD Histogram represents the difference between MACD and its 9-day EMA, the Signal line. The histogram is positive when the MACD Line is above its Signal line and negative when the MACD Line is below its Signal line.

The values of 12, 26 and 9 are the default setting used with the MACD, however other values can be substituted depending on an investor’s specific trading style and goals.

As its name implies, the MACD is all about the convergence and divergence of the two moving averages. Convergence occurs when the moving averages move towards each other. Divergence occurs when the moving averages move away from each other. The shorter moving average (12-day) is quicker and responsible for most MACD movements. The longer moving average (26-day) is slower and less reactive to price changes in the underlying stock.

The MACD Line oscillates above and below the zero line, which is also known as the centerline. These crossovers signal that the 12-day EMA has crossed the 26-day EMA. The direction, of course, depends on the direction of the moving average cross. Positive MACD indicates that the 12-day EMA is above the 26-day EMA. Positive values increase as the shorter EMA diverges further from the longer EMA. This means upside momentum is increasing. Negative MACD values indicates that the 12-day EMA is below the 26-day EMA. Negative values increase as the shorter EMA diverges further below the longer EMA. This means downside momentum is increasing.

Signal line crossovers are the most frequent MACD signals. The signal line is a 9-day EMA of the MACD Line. As a moving average of the indicator, it trails the MACD and makes it easier to spot MACD turns. A bullish crossover occurs when the MACD turns up and crosses above the signal line. A bearish crossover occurs when the MACD turns down and crosses below the signal line. Crossovers can last for a few days or a few weeks, it all depends on the strength of the stock price move.

Centerline crossovers are the next most common MACD signals. A bullish centerline crossover occurs when the MACD Line moves above the zero line to turn positive. This happens when the 12-day EMA of the underlying stock moves above the 26-day EMA. A bearish centerline crossover occurs when the MACD moves below the zero line to turn negative. This happens when the 12-day EMA moves below the 26-day EMA.

Centerline crossovers can last a few days or several months. It all depends on the strength of the trend. The MACD will remain positive as long as there is a sustained uptrend. The MACD will remain negative when there is a sustained downtrend.

Divergences form when the MACD diverges from the price action of the underlying stock. A bullish divergence forms when a stock records a lower low and the MACD forms a higher low. The lower low in the stock affirms the current downtrend, but the higher low in the MACD shows less downside momentum. Despite less downside momentum, downside momentum is still outpacing upside momentum as long as the MACD remains in negative territory. Slowing downside momentum can sometimes foreshadow a trend reversal or a sizable rally.

Any questions can be directed to [email protected]. We hope you enjoy this scan and also be sure to take a look at all the other AllPennyStocks.com Pro Scans available daily to AllPennyStocks.com Pro members and one day a week to regular AllPennyStocks.com visitors.

The abnormal volume scan allows investors to search for specific stocks that have recently traded substantially higher volumes than their 90 day average trading volume. This scan checks all stocks and calculates how their last trading day’s volume compares to the stock’s recent volume history and displays the stocks with the highest percentage deviation from the norm. Outside of the ability to pick stocks based on volume breakouts, investors are also able to filter results by exchange, price and volume.

More information on Abnormal Volume Scan:

The abnormal volume scan will allow investors to pinpoint which companies have unusual or abnormal trading volumes as volume is typically a leading indicator of price movement. Abnormal volume usually occurs as a result of a fundamental event such as a Company press release but can also occur as a result of a major news story on the company or the Company’s industry gets spotlighted. Other reasons for spikes in volume would be technical analysis traders picking up on some type of technical event that brings in plenty of liquidity into a stock as well as large Company buybacks, major investors purchasing stock in a particular company and much more.

Following this scan will allow investors to quickly and easily know which Companies should be watched closely and react to the abnormal volume on a case by case basis accordingly.

Any questions can be directed to [email protected]. We hope you enjoy this scan and also be sure to take a look at all the other AllPennyStocks.com Pro Scans available daily to AllPennyStocks.com Pro members and one day a week to regular AllPennyStocks.com visitors.